Central Coast Community Energy (3CE) Policy Board
September 19, 2024

Policy Board of Directors
September 19, 2024
9:00 A.M.

Seascape Beach Resort
1 Seascape Resort Dr, Riviera Room
Aptos, CA 95003
Public may participate through ZOOM. For ZOOM participation please join by computer audio at:
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You will be placed in the meeting as an attendee. To make a public comment:
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If you have anything that you wish to be distributed to the Board, please provide 15 copies to a member of 3CE staff or the Board Clerk, who will distribute the information to the Board members and staff.

If you have anything that you wish to be distributed to the Board, please provide 15 copies to a member of 3CE staff or the Board Clerk, who will distribute the information to the Board members and staff.

The public may comment on the consent agenda and matters not listed on the agenda but within the Board's jurisdiction at the opening of the meeting. The Board may not take action at this meeting on any item not listed on the agenda other than to refer the matter to staff or set it for a future meeting. The public may comment on a specific item listed on this agenda when the Board considers that item.

Speakers are limited to 3 minutes each.

If you choose not to attend the 3CE Operations Board of Directors meeting but wish to make a comment on a specific agenda item, you may please submit your comment as set out below. The timing of public comment shall be at the discretion of the Chair. Options for public comment are as follows:
a. To have your comments distributed to the Board prior to the meeting submit your comment via email by 5:00 p.m. on the Tuesday before the meeting. Please submit your comment to the Clerk of the Board at [email protected]. To assist the Clerk in identifying the agenda item relating to your public comment please indicate in the Subject Line, the meeting body (i.e. Operations Board of Directors Agenda) and item number (i.e. Item No. 3).

Your comment will be placed into the record at the Board meeting.

In addition, members of the public may request and receive copies without undue delay of any documents that are distributed to the Board, unless there is a specific exemption under the Public Records Act that prevents the disclosure of the record. (Cal. Gov’t Code Section 54957.5) In compliance with Government Code Section 54957.5, non-exempt writings that are distributed to a majority or all of the Board in advance of a meeting and that relate to an agenda item will be made available at 3CE’s offices located at 70 Garden Court, Suite 300, Monterey, CA 93940 during normal business hours and are also available on the 3CE website located at: https://3cenergy.org/meetings-agendas/ 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 Heather Vowell, Board Clerk, at 831-641-7216 or [email protected]. Requests should be made as soon as possible but at least 72 hours prior to the scheduled meeting.

DISCLOSURE OF CAMPAIGN CONTRIBUTIONS: Pursuant to Government Code section 84308, members of the Board are disqualified and not able to participate in any agenda item involving contracts (other than competitively bid, labor, or personal employment contracts), franchises, discretionary land use permits and other entitlements if the Board member received more than $250 in campaign contributions from the applicant or contractor, an agent of the applicant or contractor, or any financially interested participant who actively supports or opposes the decision on the agenda item since January 1, 2023.

Members of the Board who have received, and applicants, contractors or their agents who have made, campaign contributions totaling more than $250 to a Board member during the proceeding or for 12 months after a final decision is rendered in that proceeding, are required to disclose that fact for the official record of the subject proceeding. Disclosures must include the amount of the campaign contribution and identify the recipient Board member and may be made either in writing to the Clerk of the Board prior to the subject hearing or by verbal disclosure at the time of the hearing.

Welcome & Roll Call
Pledge of Allegiance
Corrections or Additions
The Clerk will announce agenda corrections or proposed additions of emergency, urgency, or continued items, which will be acted on by the Board as provided in Section 54954.2 of the California Government Code.

Public Comment on Items on the Consent Calendar and Items Not listed on the Agenda The public may address the Board on the Consent Calendar and any matter within the jurisdiction of the Board but not on the agenda.

CONSENT CALENDAR

1. Approve minutes from the June 26, 2024, meeting of the Policy Board of Directors

2. Approve minutes from the August 26, 2024 special meeting of the Policy Board of Directors

3. Adopt Resolution PB-2024-07 Setting the Regular Meeting Schedule of the Policy Board of Directors

4. Approve the 3CE Community Advisory Council FY 2024-25 Work Plan

5. FY 2023-24 Energy Programs Update

6. Quarterly Regulatory and Legislative Update

7. Financial report for the period October 1, 2023, through June 30, 2024

8. Investment Performance Report for the period of October 1, 2023 through June 30, 2024

9. CEO Report
a. Staffing Update
b. Resource Adequacy (RA) Reform
c. CEC Load Management Standards (LMS)
d. Reliable and Clean Power Procurement Program (RCPPP)

10. Community Advisory Council Report

REGULAR AGENDA

11. Update on status of real property acquisitions and provide direction regarding evaluation principles for future real property transactions

12. Adopt Resolution No. PB-2024-08 approving the Fiscal Year 2024-25 Recommended Budget and Calendar Year 2025 cost-based rates

13. Consider and provide direction regarding proposed 3CE Code of Conduct

14. Nominating Committee recommendation for Policy Board Chair and Vice Chair Board member reports and comments
Adjournment
Policy Board of Directors
June 26, 2024
1:00PM
Central Coast Community Energy
70 Garden Court, Suite 300
Monterey, CA 93940
County of Santa Cruz
701 Ocean Street,
Fifth floor, Redwood Room
Santa Cruz, CA 95060
City of Gonzales
City Hall
147 Fourth Street, Conference Room
Gonzales, CA 93926
City of Atascadero
City Hall
6500 Palma Ave, Council Chambers
Atascadero, CA 93422

MINUTES
The meeting was called to order at 1:31 PM with 15 members attending from four noticed locations and a quorum established.

Directors Present:
3CE HQ: Adams, Donaldson, Kosmicki
County of Santa Cruz: Dutra (arrived at 1:44pm), McPherson, Newsome, Vice Chair Brooks City of Gonzales: Rios
City of Atascadero: Freeman, Guthrie, Hamon, Ortiz-Legg, Cordero, Richards, Silva, Chair Williams Directors Absent:

Baron
Marx
Valenzuela
Corrections or Additions
Clerk announced that there were no corrections or additions to the agenda.

Chair opened public comment period on the consent calendar and items not listed on the agenda.

The following individual(s) addressed the Board.
 Seth Capron
 John Smigelski
 Brett Garrett

Chair closed the public comment period.

CLOSED SESSION

1. Closed session under Government Code 54950 et. seq. relating to the following item Significant Exposure to Litigation – Government Code Section 54956.9(d)(2) Net Energy Metering Program
Chair opened public comment on the closed session item.

There were no public comments.

Chair closed the public comment period.

Recessed into Closed Session at 1:35 PM
Reconvened at 1:51 PM
Clerk reconfirmed the quorum
General Counsel announced that there was no reportable action taken

CONSENT CALENDAR
MOTION: Moved by Director Hamon, seconded by Director Adams to approve the Consent Agenda as submitted ACTION: The Motion Carried with a roll call vote: 16/0/3 AYES: Adams, Donaldson, Dutra, Freeman, Guthrie, Hamon, Newsome, Kosmicki, McPherson, Ortiz-Legg, Cordero, Richards, Rios, Silva, Vice Chair Brooks, Chair Williams NOES: None

Absent: Baron, Marx, Valenzuela

2. Approved minutes from the February 21, 2024, meeting of the Policy Board of Directors

3. Regulatory and Legislative Quarterly Update

4. Financial report for the period October 1, 2023, through April 30, 2024

5. Investment Performance Report for the period of October 1, 2023, through March 31, 2024

6. FY 2023-24 Mid-Year Budget Forecast Report

7. Adopted Resolution PB-2024-03 to amend the Net Billing Tariff to include Virtual Net Billing and Net Billing Aggregation

8. Adopted Resolution No. PB-2024-04 approving the FY 2024-25 Financial Policies

9. Received Update on FY 2023-24 Energy Programs

10. Approved FY 2024-25 Underserved Communities Outreach and Engagement Action Plan

11. Appointed Jesus Jason Sedano, Celina Stotler, and Devin Best to serve on the 3CE Community Advisory Council for a three (3) year term

12. Temporarily suspended Article VII, Section 4 of the Operating Rules and Regulations to allow the Executive Committee to consist of up to eight voting members until December 31, 2024

REGULAR AGENDA

13. Community Advisory Council Report
Chair opened public comment period.

There were no public comments.

Chair closed the public comment period.

ACTION: Discussion Item; no action required

14. CEO Report
a. Bioenergy Market Adjusting Tariff (BioMAT)
b. Resource Adequacy Slice-of-Day Paradigm Implementation c. Expand Plan Your Fleet Opportunities
d. Improved Customer Relationship Management and Energy Program Support e. Enrollment of Atascadero and the County of San Luis Obispo f. Taxpayer Protection Act taken off November ballot by CA Supreme Court g. Internship Program
h. Staffing Update
Chair opened public comment period.

There were no public comments.

Chair closed the public comment period.

ACTION: Discussion Item; no action required

15. Supports 3CE’s proposed behind-the-meter residential battery rebate program Chair opened public comment period.

The following individual(s) addressed the Board.
 Beverly DesChaux
 Brett Garrett
 Joan Hartman
Chair closed the public comment period.

MOTION: Moved by Director Ortiz-Legg, seconded by Director Richards to support Staff’s recommendation.

ACTION: The Motion Carried with a roll call vote: 16/0/3 AYES: Adams, Donaldson, Dutra, Freeman, Guthrie, Hamon, Newsome, Kosmicki, McPherson, Ortiz-Legg, Cordero, Richards, Rios, Silva, Vice Chair Brooks, Chair Williams NOES: None

Absent: Baron, Marx, Valenzuela

16. Adopted Resolution No. PB-2024-05 approving 3CE's Net Energy Metering (NEM) Tariff, effective July 1, 2024Chair opened public comment period.

Chair opened the public comment period.

The following individual(s) addressed the Board.
 Seth Capron
 John Smigelski
 Brett Garrett
 Beverly DesChaux
Chair closed the public comment period.

MOTION: Moved by Director Hamon, seconded by Director Freeman to adopt the resolution with appropriate language updates.

ACTION: The Motion Carried with a roll call vote: 14/0/5 AYES: Adams, Donaldson, Dutra, Freeman, Guthrie, Hamon, Newsome, Kosmicki, McPherson, Cordero, Richards, Rios, Silva, Chair Williams
NOES: None

Absent: Baron, Marx, Ortiz-Legg (left at 3:08pm), Valenzuela, Vice Chair Brooks (left at 3:30pm)

17. Adopted Resolution No. PB-2024-06 approving the 2025 rate structure methodology Chair opened public comment period.

There were no public comments.

Chair closed the public comment period.

MOTION: Moved by Director Cordero, seconded by Director Freeman to adopt the resolution with appropriate language updates.

ACTION: The Motion Carried with a roll call vote: 14/0/5 AYES: Adams, Donaldson, Dutra, Freeman, Guthrie, Hamon, Newsome, Kosmicki, McPherson, Cordero, Richards, Rios, Silva, Chair Williams
NOES: None

Absent: Baron, Marx, Ortiz-Legg, Valenzuela, Vice Chair Brooks

18. a. Approved budget for capital improvements at 3CE's facility located at 1026 Palm Street, San Luis Obispo, and
b. Authorized the Chief Executive Officer to sign contracts with various vendors to implement the capital improvements to 1026 Palm Street, within the total approved budget
Chair opened the public comment period.

The following individual(s) addressed the Board.
 Beverly DesChaux
MOTION: Moved by Director Silva, seconded by Director Freeman to authorize the CEO to proceed with negotiation of the price and scope of the capital improvement project within the revised budget of $750, 000.

ACTION: The Motion Carried with a roll call vote: 14/0/5 AYES: Adams, Donaldson, Dutra, Freeman, Guthrie, Hamon, Newsome, Kosmicki, McPherson, Cordero, Richards, Rios, Silva, Chair Williams
NOES: None
Adjourned at 4:18 PM

Policy Board of Directors
August 26, 2024
Special Meeting
1:00PM
Central Coast Community Energy
70 Garden Court, Suite 300
Monterey, CA 93940
County of Santa Cruz
701 Ocean Street,
701 Community Room
Santa Cruz, CA 95060
City of Gonzales
City Hall
147 Fourth Street,
Conference Room
Gonzales, CA 93926
County of San Benito
550 Cagney Road
San Juan Bautista, CA 95045
City of Paso Robles
Wastewater Treatment Plant
3200 Sulpher Springs Road
Paso Robles, CA 93446
City of San Luis Obispo
City Hall
990 Palm Street,
Council Chambers
San Luis Obispo, CA 93401
City of Santa Maria
City Hall
110 East Cook Street,
Council Chambers
Santa Maria, CA 93454

MINUTES
The meeting was called to order at 1:02 PM with 17 members attending from seven noticed locations and a quorum established.

Directors Present:

HQ: Adams (arrived at 2:14pm), Baron, Donaldson, Dutra, Freeman County of Santa Cruz: Keeley (arrived at 1:09pm), McPherson, Vice Chair Brooks City of Gonzales: Rios
County of San Benito: Kosmicki
City of Paso Robles: Hamon
City of San Luis Obispo: Guthrie, Marx, Ortiz-Legg
City of Santa Maria: Patino, Silva
County of Santa Barbara: Richards, Chair Williams
Directors Absent:

Valenzuela

REGULAR AGENDA

1. Consider and provide staff direction regarding the Operations Board recommendation and/or additional alternative proposals addressing improvements to 3CE governance, including potential changes impacting Board composition

Chair opened public comment period.

There were no public comments.

Chair closed public comment period.

MOTION: Moved by Vice Chair Brooks, seconded by Director Rios to approve A. General Recommendations for Improved Communication and Engagement.

ACTION: Motion carried with a roll call vote: 18/0/1
AYES: Adams, Baron, Donaldson, Dutra, Freeman, Guthrie, Hamon, Keeley, Marx, Kosmicki, McPherson, Ortiz-Legg, Cordero, Richards, Rios, Silva, Vice Chair Brooks, Chair Williams NOES: None
ABSENT: Valenzuela
MOTION: Moved by Director Marx, seconded by Vice Chair Brooks to remove the amendment to the JPA from the September 19, 2024, meeting of the Policy Board.

ACTION: Motion carried with a roll call vote: 13/3/3
AYES: Baron, Dutra, Freeman, Guthrie, Hamon, Marx, McPherson, Ortiz-Legg, Patino, Richards, Rios, Vice Chair Brooks, Chair Williams
NOES: Adams, Kosmicki, Silva
ABSENT: Donaldson (left at 3:33pm), Keeley (left at 3:36pm), Valenzuela MOTION: Moved by Director Dutra, seconded by Director Kosmicki for the Chair to appoint an Ad Hoc Committee to discuss the governance structure of both the Policy and Operations Board. This committee will forward its recommendation to the new members of the Policy Board.

ACTION: Motion carried with a roll call vote: 14/1/4
AYES: Adams, Baron, Dutra, Freeman, Guthrie, Hamon, Kosmicki, McPherson, Ortiz-Legg, Patino, Richards, Silva, Vice Chair Brooks, Chair Williams
NOES: Marx
ABSENT: Donaldson, Keeley, Rios (left at 3:30pm), Valenzuela Adjourned at 3:51 PM

Staff Report Item 3
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Heather Vowell, Board Clerk
SUBJECT: Adopt Resolution PB-2024-07 Setting the Regular Meeting Schedule of the Policy Board of Directors
DATE: September 19, 2024
RECOMMENDATION:

Adopt Resolution PB-2024-07 setting the regular meeting schedule of the Policy Board of Directors.

BACKGROUND:

Section 3.8 of the Central Coast Community Energy’s Joint Powers Agreement requires the Policy Board to hold up to three meetings per year, with the option for additional or special meetings as determined by the CEO and/or Chair, and that all meetings shall be conducted in accordance with the provisions of the Ralph M.

Brown Act (the “Brown Act”). The Brown Act requires that the Policy Board provide a regular time and place for its meetings by resolution, ordinance, or other formal action.

The Policy Board has previously set their regularly scheduled meetings through adoption of Resolutions No. 1- 2017; No. PB-2018-05; No. PB-2019-01; PB-2020-04; PB-2023-02; PB-2024-01 DISCUSSION/ANALYSIS:

Pending approval, regular meetings of the Policy Board will be held according to the following table:

March June September December
Third (3rd ) Wednesday Third (3rd ) Wednesday Third (3rd ) Thursday Second (2 nd ) Wednesday
Time 1:30PM Time 1:30PM 9:00AM Time 1:30PM

Staff recommends rescheduling the first meeting of the calendar year to March and designating December as a regular meeting. Moving the Policy Board meeting from February to March provides additional time to providing onboarding and orientation for newly appointed Directors and better aligns with 3CE’s operational need to review and accept the annual audit of the previous fiscal year’s financial statements.

FISCAL IMPACT:

No fiscal impact.

CONCLUSION:

The Policy Board’s adoption of Resolution PB-2024-07 enables the automatic reschedule of meetings that conflict with a holiday to ensure business continuity for the agency.

ATTACHMENT(S):

1. Draft Resolution PB-2024-07

RESOLUTION NO. PB-2024-07

A RESOLUTION OF THE POLICY BOARD OF DIRECTORS OF THE CENTRAL COAST COMMUNITY ENERGY ESTABLISHING A REGULAR MEETING SCHEDULE; AND SUPERSEDING ALL

PREVIOUSLY ADOPTED RESOLUTIONS TO THE EXTENT OF ANY INCONSISTENT MEETING

SCHEDULE, LOCATION AND TIMES
WHEREAS, the Central Coast Community Energy is a Joint Powers Authority established and operated pursuant to California Government Code section 6500 et seq. to study, promote, develop, conduct, operate, and manage energy programs in the California Central Coast region of Santa Cruz, Monterey, San Benito, Santa Barbara, and San Luis Obispo Counties; and WHEREAS, pursuant to the Ralph M. Brown Act, Government Code Section 54950 et seq and Section 3.8 of the Central Coast Community Energy Joint Powers Agreement, the Policy Board of Directors of the Authority ("Board") may fix, by resolution, the date upon which, and the hour and place at which, each regular meeting of the Board is to be held; and WHEREAS, the Authority desires to establish a regular meeting schedule by resolution and to supersede any prior resolutions related to the foregoing by this resolution; and NOW, THEREFORE, the POLICY Board of Directors of the Central Coast Community Energy does hereby resolve as follows:

1. The regular meetings of the Policy Board will be held according to the following table:

March June September December
Location will rotate
between Headquarters
and southern territory
location as set by further
action of the Board and
indicated on a posted
agenda.

Location will rotate
between Headquarters
and southern territory
location as set by further
action of the Board and
indicated on a posted
agenda.

Location TBD in
conjunction with the Joint
Annual meeting and
indicated on a posted
agenda
Location will rotate
between Headquarters
and southern territory
location as set by further
action of the Board and
indicated on a posted
agenda.

Third (3rd) Wednesday Third (3rd) Wednesday Third (3rd) Thursday Second (2nd) Wednesday TIME 1:30 p.m. TIME 1:30 p.m. TIME: 9:00 a.m. TIME 1:30 p.m..

The Policy Board meetings will rotate between the northern and southern portions of the Authority’s service area and will be separately noticed in conjunction with the Joint Annual Meeting.

2. If necessary, special Policy Board meetings will be convened and duly noticed as per Brown Act requirements.

3. Regular meetings may be cancelled by the Chair or CEO. This Resolution shall take

effect immediately upon adoption.

PASSED AND ADOPTED by the Policy Board of the Central Coast Community Energy this 19th Day of September by the following vote:

AYES:

NOES: None
ABSENT:
_____________________________
Chair, Das Williams
Attest:
____________________________
Board Clerk, Heather Vowell

Staff Report Item 4
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Catherine Stedman, Chief Communications Officer SUBJECT: Approve the 3CE Community Advisory Council FY 2024-25 Work Plan DATE: September 19, 2024
RECOMMENDATION:

This recommends that the Policy Board of Directors approve the 3CE Community Advisory Council (“CAC”) FY 2024-25 Work Plan which was unanimously supported by the CAC at its August 2024 meeting.

BACKGROUND:

FY 2024-25 is the third year in which 3CE, in coordination with the CAC Chair, submits an annual work plan directing the work of the CAC to the Policy Board for consideration and approval.

At its August 7 meeting, the CAC discussed and unanimously supported seeking Policy Board approval of the 3CE CAC FY 2024-25 Work Plan (the “Work Plan”).

DISCUSSION/ANALYSIS:

The Work Plan identifies areas requiring CAC feedback and specifies a timeframe for the gathering of additional public input and for the CAC to formulate its recommendations.

The FY 2024-25 Work Plan involves a review of the Electrify Your Home (EYH) program to identify barriers to increased program participation and effectiveness, and to recommend solutions.

The EYH program expands the state’s TECH CLEAN program, a mid-stream incentive program that provides contractor training and delivers rebates “up-front” for customers. The TECH CLEAN program also serves as an implementer for EYH.

During FY 2022-23, the program experienced limited participation from eligible income qualified or multi-family homes and nearly half of all applications came from within Santa Cruz County. The Work Plan will consider and evaluate metrics related to the impacts of electrification on low- and fixed-income customers.

New to the FY 2024-25 Work Plan is the inclusion of four open community meetings designed to gather direct customer feedback on energy programs’ design, related communication strategies, and to hear directly from community members about their interest in, and barriers to, participation.

The proposed FY 2024-25 CAC Work Plan schedule is as follows:

1. October 2024: Discuss CAC roles and responsibilities, community meeting planning, and review of EYH and TECH CLEAN.

2. November 2024: Community meetings held in the northern and southern portions of 3CE’s service area.

3. February 2025: Discuss feedback from community meetings, examine impacts of electrification on low- and fixed-income customers, potential program enhancements, and prepare for second set of community meetings.

4. April 2025: Community meetings held in the northern and southern portions of 3CE’s service area.

5. May 2025: Discuss feedback from community meetings, communications strategies, and begin drafting recommendations.

6. August 2025: Finalize recommendations and implementation plan for submission to the 3CE Policy Board.

FISCAL IMPACT:

The financial impact of the FY 2024-25 CAC Workplan has not been fully determined. Staff will evaluate the costs associated with public community meetings along with the anticipated community education and engagement benefits.

CONCLUSION:

Support for the FY 2024-25 CAC Workplan will facilitate public input and provide an opportunity for CAC members to lend their individual expertise and community knowledge to the improvement of energy program design and communications efforts, increasing access to 3CE’s energy programs, advancing electrification, and achieving emission reductions on the Central Coast.

ATTACHMENT(S):

1. FY 2024-25 CAC Work Plan

1 | P a g e
Community Advisory Council
FY 2024-25 Workplan
Mission
Central Coast Community Energy (3CE) provides reliable, affordable, clean electricity, and electrification programs to reduce greenhouse gas emissions and strengthen our local community.

Central Coast Community Energy is governed by separate Policy and Operations Boards. 3CE’s professional staff carries out the policy direction of the governing boards.

The 3CE Community Advisory Council (CAC) is comprised of 15 members who serve in an advisory capacity to the boards.

Role of the 3CE CAC
3CE’S CAC SEEKS TO:

Provide feedback, as
requested by 3CE
professional staff (“staff”)
or Policy and Operations
Boards (the “Boards”) on
staff proposals and
recommendations.

Actively engage with
3CE’s communities to
assist 3CE operational
and policy goals,
engagement, and
community education
regarding 3CE’s
programs and initiatives.

Support the Boards and
staff with outreach in
furtherance of 3CE’s
operational and policy
goals.

The CAC Workplan specifies CAC work items as requested by the Boards or staff.

In addition to informational/work study sessions that facilitate the CAC’s support of 3CE goals, other matters may be presented including:
 Proposed Energy Programs Portfolio
 Energy Programs Annual Evaluation
 Communications & Outreach Strategies in support of Energy Programs  Other matters identified by the Boards or 3CE’s staff

2 | P a g e
FY 2024-25 STUDY SESSIONS
TOPIC: IDENTIFYING SOLUTIONS TO PROGRAM EFFECTIVENESS & BARRIERS TO

PARTICIPATION
The 3CE CAC FY 2024-25 Workplan focuses on interaction with community and customer stakeholders to identify barriers to program participation and to develop program enhancements that will increase program participation from across all communities and customer segments while achieving quantifiable emission reductions. In addition, the CAC will seek to enhance community engagement to ensure input and feedback considers and incorporates the broadest possible community representation.

I. OVERVIEW
The CAC will hold four formal meetings and four community meetings over FY 2024-25. The CAC will work with staff to examine the Electrify Your Home (EYH) program. The EYH program builds on and is implemented through the state’s TECH CLEAN program, a mid-stream incentive program that seeks to provide contractor training and reflect rebates “up-front” for customers. The EHY program is of particular interest because participation has been concentrated in Santa Cruz County, with other areas served by3CE seeing lower participation rates. The review will consider projects undertaken, reasons for success, limitations of the current design and implementation, barriers to participation identified by community members, and consider ways of increasing effectiveness and participation for all customers. Staff and the CAC will evaluate metrics related to the impacts of electrification on low- and fixed-income customers. CAC members will be responsible for identifying key stakeholders, facilitating community input, and providing feedback on outreach and program initiatives for staff’s consideration.

II. GOALS
 Engage with the community to gather input and ensure that programs are responsive to community needs and preferences.
 Develop actionable recommendations for 3CE based on thorough analysis and community feedback.
 Evaluate current energy programs with a focus on EYH and propose enhancements which better serve the community and increase program participation.  Evaluate communications and marketing to ensure effectiveness, reduce confusion, and encourage program participation.

3 | P a g e
III. TIMELINE
October 2024
Community Advisory Council Regular Meeting
 Discuss goals and objectives of the workplan and roles and responsibilities of council members
 Review EYH and TECH CLEAN program initiatives – Is Santa Cruz participation a success? (Guest Speaker)
 Discuss plans for first set of community meetings
November 2024
Understanding Community Needs, Community Meetings I (North) & II (South)  Shape Outreach and Program Initiatives: Help develop communication strategies and materials to effectively reach the community and gather input  Analyze Programs and Develop Recommendations: Conduct research and analysis to inform program development, ensuring recommendations are data-driven and community-focused
 Report and Present Findings: Prepare reports summarizing findings and recommendations for presentation and discussion at publicly noticed, CAC meetings  Gather feedback on design modifications to 3CE’s Electrify Your Home program  Gather input from the community regarding energy affordability challenges  Understand barriers to accessing financial assistance and adopting electrification technologies
CAC & 3CE Staff:
 Facilitate discussions and collect feedback
 Document insights and prepare a summary report for the next council meeting February 2025
Community Advisory Council Regular Meeting
 Review feedback from the first community meeting
 Examine impact of electrification on low- and fixed-income customers (Guest Speaker)
 Discuss potential new programs or enhancements
 Prepare for the second set of community meetings
CAC & 3CE Staff:
 Develop outreach materials and plan logistics for the community meetings April 2025

4 | P a g e
Building Local Engagement, Community Meetings III (North) & IV (South)  Present communications objectives, current messaging, and tactics  Gather feedback on improving reach, relevancy, and channels of communication CAC & 3CE Staff:
 Facilitate discussions and collect feedback
 Document insights and prepare a summary report for the next council meeting May 2025
Community Advisory Council Regular Meeting
 Review feedback from second community meetings
 Discuss communications initiatives and approaches
 Incorporating findings from all community meetings, begin drafting recommendations for 3CE Energy Programs and Communications & Outreach activities CAC & 3CE Staff:
 Draft recommendation report to reflect input from the council and public August 2025
Community Advisory Council Regular Meeting
 Finalize recommendations for energy programs and Communication & Outreach  Develop an implementation plan and timeline
CAC & 3CE Staff:
 Assign tasks for the development of final report
 Prepare item for 3CE’s September 2025 Policy Board meeting IV. COUNCIL MEMBER RESPONSIBILITIES
 Identify Key Stakeholders: Work with community organizations, local government, and other relevant entities to identify stakeholders for engagement.  Facilitate Community Input: Help organize and lead community meetings, ensuring diverse and inclusive participation.

V. EXPECTED OUTCOMES
 Develop enhanced program features to support residential home electrification, particularly among income-qualified individuals.

5 | P a g e
 Conduct robust community engagement ensuring that programs and outreach initiatives are aligned with community needs.
 Present clear, actionable recommendations for 3CE, with a detailed implementation plan.

Staff Report Item 5
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Inaara Muhammad, Manager of Energy Programs SUBJECT: FY 2023-24 Energy Programs Update
DATE: September 19, 2024
RECOMMENDATION:

It is recommended that the Policy Board receive an update on FY 2023-24 Energy Programs.

BACKGROUND:
3CE’s Energy Programs have been administered since 2019 to incentivize customers to engage in electrification initiatives and reduce greenhouse gas emissions. The Energy Programs portfolio has undergone several iterations to improve community-wide accessibility and achieve parity for priority communities. Currently, 3CE offers 11 programs and concierge services to support residential and commercial electrification efforts in the transportation, building, and agricultural sectors. 3CE also offers programs exclusively for Member Agencies which include Plan Your Fleet, Electrify Your Fleet, and Reach Codes.

DISCUSSION/ANALYSIS:

As part of 3CE’s commitment to customers, 3CE staff continually evaluate Energy Programs’ performance by tracking several key indicators. Attached to this report are detailed status updates on 3CE’s Community Energy Programs (Attachment 1) and Member Agency Energy Programs (Attachment 2). These status updates share a variety of program performance metrics including equipment incentivized, housing units electrified, dollars spent, and performance on equity (e.g., dollars going to income qualified residents).

Below are several highlights of the Energy Programs status updates for FY 2023-24:

 The Residential Battery Rebate Program was launched on July 16, 2024. The program has an annual budget of $2M for 400 participants. By the end of August, the new program had already received 26 applications.
 Given the success of the Plan Your Fleet (PYF) Member Agency program, evidenced by its full subscription of FY 2023-24 funds, the program has been expanded to provide additional fleet electrification services. With the new scope and budget, PYF has increased its enrollment in FY 2023-24 from five to nine participating Member Agencies.  Eligibility for the Agricultural Electrification Program was expanded to allow 3CE customers up to two rebates per fiscal year. 3CE expects increased electrification in the agricultural community because of this additional support.
 The E-Bus Program was expanded to allow rebates for up to five e-Buses. The first E-Bus can be funded up to 50%, not to exceed $200,000. The second through fifth E-Buses can be funded up to $50,000 each. Cumulatively, an organization can receive funding for up to five E-Buses for a total of $400,000 per fiscal year. Since implementing the rebate eligibility, the E-Bus program has distributed an additional $1.0M, for a fiscal year total to date of $1.4M.  As part of its transition to a new Customer Relationship Management (CRM) tool and commitment to continual improvement, 3CE anticipates existing program applications will be kept open during the transition from the current to the coming fiscal year. Historically, Energy Programs applications were paused for the month of September at the end of each fiscal year to allow for CRM updates. The Energy Programs team is currently user testing the new CRM and application integrations. The CRM is planned to launch energy program applications and management by September 30, 2024.

FISCAL IMPACT:

There is no fiscal impact associated with this report and update.

CONCLUSION:
3CE’s Energy Programs support local economies by providing the community with funding and services to accelerate regional electrification. Enhanced incentives for underserved community members reduce GHG emissions throughout the 3CE service area.

ATTACHMENT(S):

1. Update on 3CE Community Energy Programs

2. Update on 3CE Member Agency Services

FY 2023-24 3CE Community Energy Programs
This report supports the Energy Programs Staff Report for August 2024 and provides an update on participation in Central Coast Community Energy’s (3CE) Community Energy Programs for the fiscal year to date.

Electrify Your Ride Program
3CE’s Electrify Your Ride (EYR) program incentivizes residential and commercial electrification through rebates for the purchase or lease of an electric vehicle (EV), for purchase of EV Chargers, and for electrical upgrades necessary to install chargers. In 2024, the program was expanded to also include rebates for Direct-Current Fast Chargers (DCFC). In addition, EYR provides technical assistance for EV infrastructure buildout at publicly accessible commercial sites and at multifamily residential properties.

The FY 2023-24 budget for EYR totals $4 million.

Incentives are available on a first come, first served basis until funding is fully awarded. To promote greater adoption of transportation electrification in disadvantaged and low-income communities, higher incentive amounts are available for income-qualified customers and multifamily-unit buildings.

In FY 2023-24, 3CE has approved 2,017 applications and has distributed over $3.2 million in incentives to date. The following figures summarize program performance based on applications received in FY 2023- 24:

Figure 1 (above): Electrify Your Ride funds distributed by County in FY 2023-24.

Figure 2 (above): Electrify Your Ride Program Funds distributed by measure type in FY 2023-24.

Figure 3 (above): Breakdown of funds distributed to income-qualified applicants.

Tier 1 = 201 - 400% FPL; Tier 2 = <200% FPL; N/A = Non-Income Qualified applicants Electric Bus Program
3CE’s Electric Bus program provides public schools/school districts, farmworker transit organizations, and public transit agencies enrolled in 3CE service the opportunity to receive funding for the purchase of an all-electric bus. In FY 2023-24, the budget for the Electric Bus program is $2 million.

Applications are accepted until funds are fully distributed. Applicants are encouraged to apply for rebates following the purchase and delivery of an electric bus. Notices of Qualification (NOQ) may be requested to provide applicants with assurances of their eligibility status. Program recipients may elect for funds to be distributed directly from 3CE to the bus manufacturer upon receipt of the final invoice.

Applicants are encouraged to stack/leverage other incentive funds and no matching fund restrictions apply.

On July 12th, 2024, 3CE staff expanded the Electric Bus program funding guidelines to allow applicants purchasing more than one electric bus to receive a rebate of $50,000 per bus purchased in addition to the base rebate of 50% of the project cost, up to $200,000. With this change, the maximum rebate for a fleet electrification project is $400,000 applied toward the purchase of five (5) all-electric

buses. All incentives are distributed following equipment purchase and delivery, and restrictions regarding the number of fleet electrification efforts incentivized per fiscal year may apply.

To date, 3CE has distributed over $1,366,000 in post-purchase rebates to five (5) school districts and one local transit agency, incentivizing 10 electric buses and one (1) electric bus charging station. 98% of funding for school bus rebates were distributed to Title 1 Schools. New applications for two (2) electric buses in Monterey County and Santa Cruz County have been received, as well as an application for a full fleet electrification rebate for a local transit agency in Monterey County.

County Applicant
Type
Total Number of
Buses/Equipment
% funding
distributed to
Title 1 School
or Low-Income
Community
Total Funding
Monterey County School
District 2 100% $397,156.92
Santa Cruz County School
District 1 100% $157,265.37
San Benito County School
District 0 0 $0.00
SLO County School
District 0 0 $0.00
Santa Barbara
County
School
District 3 97% $409,495.87
Transit
Agency 5 100% $400,000.00
Table 1: Electric Bus projects awarded in FY 2023-24.

Electrify Your Home Program
The Electrify Your Home (EYH) program provides incentives to contractors enrolled in the TECH Clean California (TECH) program for installation of all-electric heat pump water heating and HVAC systems in existing single and multi-family buildings. EYH reduces purchase costs to 3CE customers, incentivizing making the switch to all-electric heat pump technology. The FY 2023-24 budget for EYH is $1.1 million.

Contractors enrolled in TECH are provided access to no-cost education and training on electrification design and specifications, heat pump installation, building science, and sales and marketing for electric

heat pumps. There are currently seventy-five (75) licensed contractors enrolled in the TECH program that work in 3CE’s service area.

In FY 2023-24 the EYH program has distributed $824,300 in rebates to promote the installation of 236 Heat Pump HVAC units and 71 Heat Pump Water Heater Units. The projects are primarily on single family homes but do include three multifamily developments. 3CE County Total Incentive Funds Distributed
San Luis Obispo County $258,000
Santa Cruz County $223,500
Monterey County $222,800
Santa Barbara County $120,000
Table 2: Electrify Your Home funds distributed by county New Construction Electrification Program
The New Construction Electrification Program (NCEP) provides affordable and farmworker housing developers and homeowners building Accessory Dwelling Units (ADUs) with incentives to build all-electric housing. 3CE also offers incentives to people who lost their homes because of a declared natural disaster, such as the 2022-2023 winter storms, to rebuild all-electric homes. Beginning in January 2024, NCEP expanded to include market-rate single and multifamily housing. Also, this year, to streamline the application process, 3CE began encouraging eligible applicants to submit funding requests post-project completion.

Qualifying housing projects must be built to all-electric standards for all energy utility needs, including water heating, space heating, and cooking appliances. The FY 2023-24 budget for NCEP is $1.1 million.

To date in FY 2023-24, 3CE’s New Construction Electrification Program has distributed a total of $843,250 to incentivize all-electric construction of 228 affordable housing units, 96 market-rate units, and 11 ADUs and disaster rebuilds.

3CE County Total Incentive Funds Distributed
County of Monterey $175,000
County of San Luis Obispo $349,000
County of Santa Cruz $319,250
Table 3: NCEP funds distributed by county
Agricultural Electrification Program
3CE’s Agricultural (Ag) Electrification program provides rebates to ag customers for replacing fossil fuel powered equipment with electric powered alternatives including farm tools, irrigation pumps, vehicles, and more. Enhanced incentives are available for small businesses and for businesses replacing equipment damaged or destroyed by a declared natural disaster. The program also provides technical assistance for EV infrastructure buildout at agricultural customer sites. The FY 2023-24 budget for Ag Electrification is $1.8 million.

Rebates for equipment with higher estimated GHG emissions avoidance and those benefiting small to medium sized agricultural businesses are supported with greater incentive levels. 3CE covers up to 50% of the cost for farm equipment, providing up to $15,000 USD for smaller “Tier 1” equipment and up to $75,000 USD for larger “Tier 2” equipment. Program funds are offered as a post-purchase rebate. To provide additional support for electrification in the agricultural community, 3CE has expanded eligibility to allow customers to receive two rebates per fiscal year.

Since the start of the current fiscal year, 3CE has distributed incentives for seventeen (17) projects, totaling $394,437.74 USD. Completed projects by county are described in Table 4 below.

County Tier 1
Applications
Tier 2
Applications
Small business
designation %
TOTAL
Monterey County 4 4 50% 8
Santa Cruz County 4 1 60% 5
San Benito County 1 0 0% 1
SLO County 0 0 0% 0
Santa Barbara County 0 3 33% 3
Total: 8 8 30% 17
Table 4: Agricultural Electrification projects awarded in FY 2023-24.

Residential Battery Rebate Program
With support from the Community Advisory Council, the Operations Board, and the Policy Board of Directors, 3CE staff launched the Residential Battery Rebate program on July 16, 2024, to incentivize residential use of behind-the-meter battery storage systems. Rebates are provided for eligible purchase of batteries, qualifying installation hardware, and labor directly related to the battery system's installation. 3CE estimates the program will issue four hundred (400) rebates per fiscal year, which equates to approximately 2.6 megawatts (MW) of new energy storage, and an annual expenditure of $2M.

The program offers a $300 per kilowatt hour (kWh) base rebate for customers. A $500 per kilowatt hour (kWh) rebate is for Net Energy Metering (NEM) 1.0 and NEM 2.0 tariff customers who elect to transition to Net Billing Tariff (NBT) early. Additionally, the program offers a $500 per kilowatt hour (kWh) rebate for customers who are enrolled in the Medical Baseline program and are reliant on electricity to power medical devices. To promote adoption in disadvantaged and low-income communities, the program also offers a $500 per kilowatt hour (kWh) rebate for customers enrolled in CARE or FERA payment assistance programs.

By the end of August 2024, 3CE had already received 28 applications, totaling $157,400. 3CE will continue to update the Board as staff processes applications.

FY 2023-24 3CE Member Agency Programs
This report supports the Energy Programs Staff Report for August 2024 and provides an update on FY 2023-24 Member Agency program implementation activities.

Reach Code Program
3CE’s Reach Code program for Member Agencies provides no-cost technical assistance to help local cities and counties adopt and implement reach codes, including stakeholder outreach support. Services include presenting to key stakeholders, answering technical questions, attending meetings, developing customized ordinances, reviewing staff presentations and reports, and developing implementation tools to help Member Agencies enforce reach codes. In FY 2023-24, 3CE budgeted $100,000 for the Reach Code program.

Since launching the Reach Code program on October 1, 2023, 3CE has engaged four Member Agencies:

Member Agency Reach Code Type
City of San Luis Obispo New Construction (complete) and Existing Buildings (underway) City of Santa Cruz Existing Buildings (complete)
City of Goleta Electric Vehicle Charging Infrastructure (underway) County of Monterey Electric Vehicle Charging Infrastructure (underway) Electrify Your Fleet Program
3CE’s Electrify Your Fleet (EYF) program incentivizes Member Agencies to purchase or lease electric fleet vehicles. Applications will be accepted until program funds are fully reserved or spent. A 3CE Member Agency applicant is eligible to reserve or be awarded up to $150,000 in EYF incentives in the program year. In FY 2023-24, 3CE budgeted $2.1 million for EYF.

Since launching the program on October 1, 2023, 3CE has incentivized 31 Battery Electric Vehicles totaling $480,000.

Member Agency Equipment Type Quantity Total Incentive
CITY OF SAN LUIS OBISPO Battery Electric Vehicle (BEV) 10 $50,000.00 CITY OF SANTA MARIA Battery Electric Vehicle (BEV) 12 $114,000.00 COUNTY OF SANTA CRUZ Battery Electric Vehicle (BEV) 6 $42,000.00 CITY OF CAPITOLA Battery Electric Vehicle (BEV) 1 $250,000.00 CITY OF CARMEL-BY-THE-SEA Battery Electric Vehicle (BEV) 3 $17,000.00 CITY OF GOLETA Battery Electric Vehicle (BEV) 1 $7,000.00 Total 33 $480,000.00
Charge Your Fleet Program
3CE’s Charge Your Fleet (CYF) program provides rebates for the purchase and installation of Level 2 or Level 3 (DC Fast Chargers) EV chargers. Member Agencies are eligible for up to $150,000 in CYF each year. 3CE’s 2023-24 CYF budget totals $1.2 million.

Since the launching of the program on October 1, 3CE has incentivized 24 EV chargers totaling $208,698.

Member Agency Equipment Type Quantity Total Incentive
CITY OF CARPINTERIA Level 2 10 $48,698.25
CITY OF SANTA CRUZ Level 2 4 $20,000.00
CITY OF SANTA MARIA Level 2 8 $40,000.00
CITY OF WATSONVILLE Level 3 2 $100,000.00
Total 33 $208,698.25
Plan Your Fleet Program
3CE’s Plan Your Fleet (PYF) program provides no-cost planning, design, and engineering consulting to Member Agencies to accelerate fleet electrification and EV charging infrastructure development across the Central Coast.

To best support 3CE’s Member Agency transportation electrification expansion plans, the Operations Board approved and authorized the CEO to execute an amended agreement with the Plan Your Fleet provider, Optony, Inc. on May 8th, 2024. This agreement serves to provide Member Agency fleet electrification services for a total not-to-exceed amount of $2,502,675 and a term ending on September 30, 2027, with the FY 2023-24 not-to-exceed budget augmented to $486,375. As a result of the Plan Your Fleet expansion, participation has increased from five to nine Member Agencies this FY.

This fiscal year to date, nine jurisdictions are participating in the program to receive fleet replacement plans, charging infrastructure designs, and/or additional electrification services. Jurisdictions include:

 City of Carpinteria
 City of Greenfield
 County of Monterey
 County of Santa Barbara
 City of Marina
 City of Santa Maria
 City of San Luis Obispo
 City of Soledad
 City of Monterey

Staff Report Item 6
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Jerri Strickland, Manager of Energy Policy; Sophia Schwirzke, Customer Accounts Manager
SUBJECT: Regulatory and Legislative Quarterly Update
DATE: September 19, 2023
RECOMMENDATION:

This memorandum provides the Policy Board with a third quarter Regulatory & Legislative Update.

DISCUSSION:

These quarterly updates prepare a summary of key regulatory proceedings and legislative matters impacting 3CE’s customer support, business operations, and climate goals.

FISCAL IMPACT:

No financial impact by receiving this report.

ATTACHMENT(S):

1. Quarterly Regulatory and Legislative Update

Quarterly Regulatory & Legislative Update
September 19, 2024

Table of Contents
REGULATORY UPDATE......................................................................................................................................................... 3 Resource Adequacy (RA) -.............................................................................................................................................. 3 Provider of Last Resort (POLR) and Emergency Transition Planning -....................................................... 3 Load Management Standards (LMS) and Real-Time Pricing -......................................................................... 4 Preventing Disconnections -.......................................................................................................................................... 4 GO 156 Annual Supplier Diversity Report & Plan................................................................................................. 5 Bioenergy Market Adjustment Tariff (BioMAT) - ................................................................................................. 5 Integrated Resource Planning (IRP) -........................................................................................................................ 6 Renewables Portfolio Standard -.................................................................................................................................. 6 Interconnections................................................................................................................................................................. 7 Energization – ...................................................................................................................................................................... 7 Diablo Canyon Power Plant Extension –................................................................................................................... 8 Energy Resources Recovery Account (ERRA) Compliance –............................................................................ 8 3CE END OF SESSION LEGISLATIVE REPORT Introduction................................................................................11 Budget Deal.........................................................................................................................................................................11 Key Issues:...........................................................................................................................................................................12 Climate Bond..................................................................................................................................................................12 Leadership Policy Packages.....................................................................................................................................12 PG&E Power Charge Indifference Adjustment (PCIA)..................... Error! Bookmark not defined.

Closing / Looking Ahead to 2025: ................................................................ Error! Bookmark not defined.

REGULATORY UPDATE
Resource Adequacy (RA) - R.23-10-011
Issue
The Resource Adequacy (RA) program is the California Public Utilities Commission’s (CPUC) main grid reliability planning program. All load serving entities (LSEs) under the CPUC’s jurisdiction, including CCAs, must demonstrate purchase of a specified amount of eligible RA generation capacity each month and year to comply with RA program requirements. Increasing demand for and a decreasing supply of eligible RA capacity over the past five years have resulted in sharply increased prices and unprecedented difficulty procuring sufficient RA to achieve compliance. Over the past year the CPUC has also sought to tie RA compliance to other, unrelated functions such as CCA expansion into new communities.

Status
The CPUC has initiated Track 2 of the RA proceeding to consider modifications to the Central Procurement Entity (CPE) framework and the Planning Reserve Margin (PRM) requirements for 2026- 2027. 3CE staff helped shape CalCCA’s proposal, submitted on June 14, that the CPUC adjust the timeline to provide LSEs with their CPE allocations at least one year prior to their year-ahead RA filings to improve procurement certainty. On July 22, the Energy Division issued its Loss of Load Expectation Study for 2026, which proposed that the Commission increase the PRM from 17% to 18.5% for the 2026 RA compliance year. 3CE submitted comments recommending that the CPUC delay adoption of a PRM for 2026 until the Slice-of-Day (SOD) framework has been fully implemented and the SOD PRM calibration methodology is refined, as several parties have identified issues with the tools and approach used to calculate the proposed PRM. In the interim, 3CE’s comments suggest the CPUC investigate policy changes that would increase reliability without costly impacts to ratepayers. The CPUC issued a Ruling indicating that because the PRM calibration tool requires corrections, a revised SOD PRM tool and translation results will be released at the end of August. 3CE also submitted informal comments to the CPUC to identify issues with the existing SOD tool.

Next Steps
3CE staff will evaluate the revised PRM calibration when available and continue to advocate that the CPUC delay adoption of an increased PRM until it has sufficient data and tools to accurately assess grid needs and that its approach strikes a balance between ensuring reliability and minimizing costs to customers. A Proposed Decision (PD) on Track 2 issues, including CalCCA’s proposal to amend the CPE timeline and the 2026 PRM level, will be issued in November.

Provider of Last Resort (POLR) and Emergency Transition Planning - R.21-03-011 Issue
The Provider of Last Resort (POLR) is the backstop entity that provides electric service to customers of a load serving entity if that LSE fails suddenly. This role has historically been held by the investor-owned utilities (IOUs, namely Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric), but this proceeding is establishing a process to allow CCAs and other non-IOU LSEs to become POLR in their service areas. 3CE does not aim to be the POLR but wants to ensure the process is fair for all LSEs and avoids competitive issues. This proceeding is also considering rules designed to prevent LSE failures that have various implications for 3CE finances and operations. This includes changes to how much money CCAs must post as insurance against their own failure (called the Financial Security Requirement or FSR).

Status

Pursuant to the Phase 1 Decision, 3CE jointly submitted two Advice Letters via CalCCA with guidance on financial monitoring requirements and new CCA registration guidelines to ensure that any new requirements retain flexibility within CCA contracts, preserve CCA autonomy, and align with existing regulations. On August 8, the CPUC initiated Phase 2 of the proceeding to address the requirements and process for non-IOU entities to become a POLR. CalCCA attended the prehearing conference (PHC) and issued a statement requesting that the CPUC deny PG&E’s requests to further consider the liquidity needs of the POLR and seasonal RA pricing, as these issues are outside the intended scope for Phase 2.

Next Steps
Following the PHC, the CPUC will issue a Ruling setting the formal scope and schedule for Phase 2. 3CE staff will continue to monitor and participate in the proceeding to promote beneficial changes to the current POLR framework.

Load Management Standards (LMS) and Real-Time Pricing - 23-LMS-01 Issue
The California Energy Commission’s (CEC) updated Load Management Standard (LMS) regulations now require IOUs, municipal utilities, and CCAs with load greater than 700 GWh/year to upload time-dependent rates to the CEC’s Market Informed Demand Automation Server (MIDAS) platform, develop an LMS Compliance Plan by March 2024, and present to their governing bodies, for approval by the CEC, at least one hourly marginal cost based rate option (often referred to as a real-time rate) for their customers by 2025.

Status
3CE continues to follow its LMS Plan as adopted by the Policy Board on February 21. Accordingly, staff has been actively collaborating with stakeholders on the development and design of a statewide tool for authorized rate data access by third parties for submission to the CEC by October 1. 3CE attended a meeting with CEC staff on August 29 to discuss its LMS Plan and ongoing efforts to implement the AgFIT Pilot.

Next Steps
3CE staff is working with CalCCA to advocate for CEC or other non-ratepayer funding for LMS costs related to development of the single statewide tool and to ensure that any necessary cost recovery processes are equitable and transparent. 3CE is also developing a list of programs for the October 1 deadline and continues to assess the options outlined in its LMS Plan. In the upcoming months, the CEC will issue a review of all CCA LMS Plans.

Preventing Disconnections - R.18-07-005
Issue
In 2020, the CPUC established temporary residential disconnection rate caps for the IOUs, including a

3.5% cap for PG&E and a 4% cap for SCE, set to expire at the end of 2024. Further, in 2021, the CPUC directed the IOUs to allocate payments on outstanding utility bills using a pro-rata method, which splits payments proportionally between utility and CCA charges, through the end of September 2024. The pro-rata method temporarily replaced the current IOU tariff “waterfall” methodology whereby past-due bills are first credited to the IOU portion and then to the CCA portion, resulting in CCAs bearing disproportionate impacts from customer payment delays. These temporary measures were implemented in the context of the COVID-19 pandemic when the IOUs were not disconnecting residential customers.

Status
On August 8, 2024, the CPUC issued a PD that fully supports CalCCA’s arguments in favor of allocating payments on past-due bills on a pro-rata basis. The PD finds that the “waterfall” method inappropriately shifts financial risk to the CCAs and acknowledges that strengthening the financial position of CCAs benefits all customers. CalCCA filed comments on the PD on August 28 to support the PD, seek clarification that the pro-rata method will apply to all types of past-due payments, and request that the CPUC direct the IOUs to update their tariffs accordingly to remove reference to the waterfall method.

Next Steps
3CE staff will work with CalCCA to submit reply comments, due September 3, to reinforce support for the PD. The CPUC will vote on the PD at its September 12 Voting Meeting. Separately, the CPUC issued a Ruling seeking party comment on the impact of modifying disconnection rate caps on customer bills beyond 2024. 3CE will work with CalCCA to assess the impact of any changes and evaluate the need to submit comments, due September 20.

GO 156 Annual Supplier Diversity Report & Plan
Issue
GO 156 is a California Public Utilities Commission (CPUC) program that requires California load-serving entities to report on the portion of their contracts and subcontracts that are signed with businesses that qualify as Women, Minority, Disabled, Veteran, Lesbian, Gay, Bisexual, Transgender Business Enterprises (WMDVLGBTBE).

Status
On August 27, the CPUC issued a Phase 2 PD which introduces minor modifications to the reporting requirements for LSEs’ annual GO-156 Supplier Diversity reports. The PD would require LSEs to include existing publicly available, non-confidential reports and data submitted to state and federal jurisdictions pertaining to workforce diversity, as well as a brief description of their board diversity data. If adopted, these changes will apply to 3CE’s 2024 Supplier Diversity Report, which is due to the Commission by March 1, 2025.

Next Steps
3CE will work with CalCCA to submit comments on the PD, due by September 16, 2024, and will monitor the outcome of the PD to ensure that 3CE’s 2024 Supplier Diversity Report complies with any new reporting requirements.

Bioenergy Market Adjustment Tariff (BioMAT) - R.22-10-010 Issue
BioMAT is a procurement program opened in 2015 to encourage the development of small bioenergy projects in California. The program is unique in that it allows load serving entities (LSEs) contracting with these projects to recover the costs from all California electricity users through the Public Purpose Programs (PPP) charge. In 2021, 3CE and other CCAs successfully lobbied legislators to reverse the exclusion of CCAs from BioMAT with the passage of AB 843. AB 843 was the first time CCAs gained access to PPP funding, setting a valuable policy precedent. The CPUC began implementation of AB 843 in October 2022 by opening of a new proceeding to work through the details of CCA participation.

Status

On August 14, the Operation Boards approved the BioMAT program, the pro-forma agreements, and granted the CEO the authority to approve eligible PPAs. Following this approval, 3CE informed the Energy Division and collaborated with Accion to finalize the BioMAT web portal. The Joint BioMAT CCAs requested and were granted an extension for the initial programmatic requirement, which is to submit an application demonstrating compliance with the CPUC’s prudent manager standards. This extension moved the deadline to September 1, as no CCA had yet executed a BioMAT PPA. Now, CCAs must submit their application by the earlier of the following two dates: six months from the execution of a Participating CCA’s first BioMAT PPA or the next annual deadline of September 1, 2025.

Next Steps
3CE will continue its outreach efforts with potential BioMAT applicants in its service territory.

Integrated Resource Planning (IRP) - R.20-05-003
Issue
Integrated Resource Planning (IRP) is the CPUC’s greenhouse gas (GHG) reduction planning program.

LSEs must submit IRPs every two years demonstrating that planned future procurement will produce GHG emissions below an assigned benchmark while contributing to a resource fleet that meets sector-wide GHG targets and maintaining grid reliability. Previous IRP cycles have produced three procurement mandates, which apply to 3CE and other CCAs. On April 18, the CPUC issued an Amended Scoping Memo stating its intent to address additional issues in the IRP proceeding, including implementation of Assembly Bill (AB) 1373 which allows the Commission to request that the Department of Water Resources (DWR) serve as a central procurement entity (CPE) for certain long-lead time (LLT) resources, as well as development of a long term procurement framework entitled the Reliable and Clean Power Procurement Program (RCPPP) that would replace the CPUC’s current ad hoc mandate structure.

Status
On August 22, the CPUC approved a Decision on AB 1373 implementation, which makes an initial need determination for DWR centralized procurement of up to 10.6 gigawatts (GW) of LLT resources including offshore wind (OSW), geothermal, and long duration energy storage resources. While the PD does not adopt CalCCA’s recommendations to limit its need determination to a small amount of OSW or allow LSEs to self-provide the required resources, it does include a recommendation put forth by 3CE that DWR consider tasking a consultant with pursuing non-ratepayer sources of funding. Separately, on August 27, 3CE received notice that its updated IRP narrative for its 2022 Plan was accepted by the CPUC.

Next Steps
Within 6 months of September 1, 2024, the CPUC will request that DWR initiate its procurement process of the resources specified in the Decision. The Decision indicates that the CPUC will address allocation of costs and benefits and interactions with the RA proceeding in the future of this proceeding or its successor. 3CE continues to await a staff proposal on the RCPPP design and will evaluate it once available to assess impacts to 3CE’s procurement processes and advocate for improved coordination between the RA and IRP programs. 3CE’s next IRP filing will be due by November 1, 2025.

Renewables Portfolio Standard - R.24-01-017

Issue
The CPUC’s Renewables Portfolio Standard (RPS) proceeding monitors compliance by retail sellers, including CCAs, within California’s RPS program which requires that 60% of all electricity retail sales be served by renewable resources by 2030 and at least 65% of the procurement a retail seller counts toward the RPS requirements be from long-term contracts. The CPUC initiated a new rulemaking to continue implementation of the RPS program, including reviewing RPS procurement plans, providing tools for RPS analysis and reporting, assessing RPS compliance, and integrating new legislative mandates into the RPS program.

Status
On July 23, 3CE submitted its Draft 2024 RPS Procurement Plan, providing information and updates on 3CE’s progress towards meeting applicable renewable energy planning and procurement targets. 3CE has also issued its annual Joint Rate Comparison (JRC) mailer, which compares 3CE and the respective IOU’s generation costs and power mix for customers to better understand their generation service options.

Next Steps
Staff will continue to monitor the new RPS proceeding to ensure 3CE’s ongoing RPS compliance and progress towards sourcing 100% clean and renewable energy by 2030, 15 years ahead of the state goal. 3CE is reviewing party comments on LSEs Draft 2024 RPS Procurement Plans to assess the need to submit reply comments, due by September 5. A PD on LSE 2024 Procurement Plans will be issued in Q4 of 2024.

Interconnections IPE 2023
Issue
The California Energy Commission’s (CEC) 2023 Integrated Energy Policy Report (IEPR) identifies interconnection delays as a significant barrier to achieving California’s electrification and decarbonization goals. Ongoing initiatives led by various entities are working to address this issue and streamline processes for connecting clean resources to the grid. One such effort is CAISO’s 2023 Interconnection Process Enhancements (IPE) initiative, focused on enhancing coordination of resource procurement, interconnection, and transmission planning to achieve state reliability and policy needs.

Status
On June 12, the CAISO board unanimously approved its Interconnection Process Enhancements proposal which introduces significant modifications to its interconnections study process, including a new scoring criteria that weights LSE interest in prospective projects. On August 1, CAISO filed its proposal with FERC, requesting approval by October 1. LSEs have received their Transmission Plan Deliverability (TPD) allocations for their Cluster 15 interest selections and must opt-in to provide scores and publicly post their scoring criteria prior to the interconnection application period.

Next Steps
3CE will continue to monitor the status of CAISO’s IPE proposal at FERC and assess its interest in and potential approach to participating in the interconnection scoring process if approved.

Energization – R.24-01-018R.24-01-018
Issue

Demand for new service connections and upgrades to existing distribution lines have been increasing, especially as California advances policies to meet energy transition goals. In January, the CPUC opened a new Rulemaking to implement recent statutes and reduce energization delays by requiring the establishment of reasonable timelines for customers to receive new service connections and a procedure for customers to report delays.

Status
On August 12, the CPUC issued a PD establishing target energization time periods and procedures for customers to report energization delays. The PD requires IOUs to track and report energization related data and to assign a project manager to each approved application for new or upgraded electrical service to provide customers with updates on the status of their project, The PD also establishes an approach for customers to submit complaints of energization delays directly to the CPUC if the IOU exceeds the time periods.

Next Steps
3CE is working with CalCCA to shape opening comments on the Energization PD, due September 3, to support the CPUC’s establishment of statewide targets while recommending refinements to the IOUs’ reporting requirements, improvements to the customer complaint form, and the establishment of IOU energization project data portals for enhanced transparency. The CPUC will vote on the PD on September 12. Phase 2 of the energization rulemaking will continue to refine energization timelines and contemplate compliance requirements if IOUs fail to meet statewide targets.

Diablo Canyon Power Plant Extension – R.23-01-007
Issue
SB 846 required the CPUC to consider the potential extension of operations at the Diablo Canyon Power Plant (DCPP) for an additional five years beyond its retirement dates to improve system reliability while additional renewable energy and zero-carbon resources come online. DCPP is owned and operated by PG&E and was licensed by the Nuclear Regulatory Commission (NRC) to operate until November 2, 2024 (Unit 1) and August 26, 2025 (Unit 2). In 2023, the CPUC opened a new proceeding related to the potential extension of DCPP. Phase 1 of the proceeding concluded with a Decision that authorized extended operations of DCPP and allocated the costs and benefits to LSEs.

Status
Phase 2 of the proceeding will consider additional processes and mechanisms to review, recover, and approve potential extended operations costs at DCPP, including PG&E’s use of volumetric performance fees (VPF). SB 846 specifies that excess revenue generated by the extended operation of DCPP should be spent on public purpose priorities such as accelerating interconnection and promoting renewable energy. On August 20, PG&E proposed new uses for the VPFs, including expanding its existing battery program, gathering electric vehicle detection data, and streamlining energization processes.

Next Steps
3CE staff will continue to monitor the proceeding and support CalCCA’s advocacy that VPFs expenditures align with SB 846 and equally benefit all ratepayers. Opening Briefs are due October 1, 2024.

Energy Resources Recovery Account (ERRA) Compliance – A.22-02-015; A.22-04-001; A.24-02-012

Issue
Energy Resource Recovery Account (ERRA) compliance filings are made annually by the Investor-Owned Utilities (IOUs) for the approval of costs associated with Utility Owned Generation (UOG) operations and fuel procurement, Portfolio Allocation Balancing Account (PABA) entries, economic dispatch of electric resources, and contract administration. IOUs are required to demonstrate compliance with CPUC decisions and the California Public Utilities Code. All CCAs participate jointly in these proceedings through CalCCA to ensure unbundled customers are treated equitably in IOU rate-setting decisions.

PG&E Status
On July 26, the ALJ issued a short ruling (attached) re-opening discovery for CalCCA (and CalCCA alone).

The ruling permits CalCCA to ask discovery on the following issues: (1) PG&E's RA sales solicitations in 2022, (2) PG&E's transfer of excess RA from PCIA to CAM, (3) PG&E's attempts to sell excess existing PCIA-eligible RA resources through the commercial process of its BPP. These issues are the same issues CalCCA has attempted to investigate throughout this proceeding. To date, PG&E's objections and the ALJ's evidentiary rulings have prevented us from doing so. Discovery on these topics was issued on August 2. The statutory deadline for this case was extended to May 28, 2025.

Next Steps
CalCCA is awaiting a response to their discovery from PG&E.

Energy Resources Recovery Account (ERRA) Forecast – A.23-05-012; A.23-06-001 Issue
ERRA forecast applications are filed annually by IOUs to look ahead at energy procurement-related revenue requirements, including the allocation of costs across Power Charge Indifference Adjustment (PCIA) vintages. CCAs participate through CalCCA to ensure: (1) accuracy of forecast account balances, rates, and cost calculations; (2) proper attribution of PCIA vintage; (3) proposer attribution between bundled and unbundled customers; (4) appropriateness of IOU proposals within the context of an ERRA forecast proceeding.

Status
PG&E:

CalCCA filed a protest to PG&E’s 2025 ERRA Forecast Application on June 17, 2024, opposing PG&E’s proposal to freeze RA Market Price Benchmarks (MPBs) at 2024 levels if they increase from forecasted levels as this would shift costs to CCA customers through increased PCIA rates. On August 1, the CPUC ruled in favor of CalCCA’s protest that PG&E’s RA MPB proposal is inappropriate for an ERRA proceeding but may merit consideration in a statewide rulemaking proceeding.

SCE:

SCE’s 2025 ERRA Forecast Scoping Ruling set the scope and schedule of SCE’s 2025 ERRA Forecast case on August 14, 2024. SCE submitted its 2025 ERRA Forecast Supplemental Testimony on August 16, 2024, which addresses SCE’s proposal for integrating the new SOD RA methodology into its 2025 ERRA Forecast, which will end up impacting the Power Charge Indifference Amount. SCE proposes to change the current methodology for forecasting RA value from using ELCC values, which only provide one value for a month, to exceedance values for intermittent resources, which provide 24 values for each month, one for each hour. SCE then takes the average of the 24 exceedance values and determines the SOD RA Effectiveness Factor for intermittent resources. The issue SCE is attempting to address was never addressed during SOD development, however more evaluation of this proposal is needed and in a venue

with all three IOUs for applying consistency across territories. CalCCA will represent this position in upcoming testimony.

Next Steps
Intervenor testimony is due on September 3 for both the PG&E & SCE’s 2025 ERRA Forecast.

3CE END OF SESSION LEGISLATIVE REPORT
Introduction
On August 31st, the 2023-24 California Legislative Session drew to a close. This year, the Legislature and the Governor prioritized balancing the state budget during the first fiscal downturn year in almost a decade, supplementing critical funding for climate and education programs in bond initiatives that will appear on the 2024 November ballot, and advancing important policy measures.

In the closing weeks of the session, the Senate, Assembly, and the Governor released various policy “packages”, related to clean energy project streamlining, energy affordability, and refinery price spikes, respectively.

Budget Deal
The 2024-25 State Budget, which was approved by the Legislature and signed into law by the Governor, addresses the $46.8 billion revenue deficit with a number of solutions, including tapping into budget reserves, including a $12.2 billion expenditure from the Rainy-Day Fund over the next two fiscal years; reductions in spending, including a 7.95% reduction across all state operations; and accessing new revenue sources and internal borrowing. To provide fiscal protection, the budget agreement also includes legislation requiring the state to set aside a portion of anticipated surplus funds to be allocated in future Budget Acts, so the state doesn’t commit certain amounts of future anticipated revenues until those revenues have been realized.

In the spirit of closing an historic budget deficit, many energy and climate related programs saw reductions in funding and shifts from the state’s General Fund to its Greenhouse Gas Reduction Fund.

Key policies concerning energy include:
 Rejection of the proposed Energy Resources Program Account (ERPA) fee increase.  Cutting $63 million from the Distributed Electricity Backup Assets program.  Preservation of $45 million in Offshore Wind Port Infrastructure funding by shifting costs to the Greenhouse Gas Reduction Fund (GGRF), maintaining full funding.  Delaying the Clean Energy Reliability Investment Plan, originally negotiated during the Diablo Canyon extension, and shifting of its funding to the GGRF, allocating $50 million in 2025-26, $150 million in 2026-27, $50 million in 2027-28, and $650 million in 2028-29.

Key Issues:

Climate Bond
The Safe Drinking Water, Wildfire Prevention, Drought Preparedness and Clean Air Bond Act of 2024 (Proposition 4) authorizes a $10 billion bond to be placed before the state’s voters for approval on the November general election ballot, November 5th, including:
 $3.8 billion for safe drinking water, drought, flood, and water resilience programs;  $1.5 billion for wildfire and forest resilience programs;  $1.2 billion for coastal resilience programs;
 $450 million for extreme heat mitigation programs;
 $1.2 billion for biodiversity protection and nature-based climate solutions programs;  $300 million for climate-smart, sustainable, and resilient farms, ranches, and working lands programs;
 $700 million for park creation and outdoor access programs; and  $850 million for clean air programs.

Leadership Policy Packages
The Assembly, Senate, and Governor released various policy packages leading up to the final two weeks of session. While multiple proposals were made concerning the acceleration of clean energy projects, maintaining fossil fuel reserves to mitigate price impacts in the transition to clean energy, and increasing rate payer affordability, only three policies were ultimately advanced to the Governor’s desk:
 SB 1420 (Caballero) accelerates the development and deployment of clean renewable hydrogen and expands last year’s infrastructure streamlining to incorporate hydrogen projects into California Environmental Quality Act (CEQA) streamlining.  SB 1142 (Menjivar) requires an electrical or gas corporation to restore service to a residential customer whose service has been disconnected for nonpayment of bills if certain conditions are met and directs the CPUC to determine whether to direct such utilities to take into account a customer’s ability to pay before terminating service.
 AB 3264 (Petrie-Norris) requires the CPUC, in consultation with the CEC, to develop a framework for assessing, tracking, and analyzing total annual energy costs paid by residential households in California and to set goals for reductions in total annual energy costs paid by households. It also requires the CPUC, in consultation with the CEC, the California Infrastructure and Economic Development Bank (iBank), and the Independent System Operator (CAISO), to submit a study identifying proposals to reduce the cost to ratepayers of expanding the state’s electrical transmission grid as necessary to achieve the state’s goals to reduce the emissions of greenhouse gasses. It requires the CPUC to biannually report on the cost effectiveness and ratepayer savings of energy efficiency and demand response programs paid for by ratepayers.

The Governor has until September 30 to sign or veto bills.

Staff Report Item 7
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Juan Lopez, Director of Finance
SUBJECT: Receive a financial report for the period October 1, 2023, through June 30, 2024 DATE: September 19, 2024
RECOMMENDATION:

Receive a financial report for the period October 1, 2023, through June 30, 2024.

SUMMARY:

Over the nine months ending June 30, 2024, operating revenues amounted to $380.5 million, and operating expenses totaled $346.8 million for a net operating income of $33.7 million. Non-operating revenue of $8.8 million, driven by interest and investment returns, netted the month with a net position of $42.5 million.

Year-to-date operating revenue is $27.3 million lower than budget, primarily due to the seasonal fluctuations in revenues and expenditures and the lower-than-budgeted customer load to date.

However, operating revenue is expected to align with the budget throughout the fourth quarter as the summer months conclude. Meanwhile, investment revenue exceeded the budget with a favorable variance of $4.1 million, as staff actively manages in a favorable short-term interest rate environment.

Year-to-date operating expenditures are lower than the budget by $10.3 million. The cost of energy was $1.1 million higher than the budget. The variance is from higher-than-expected resource adequacy (RA) capacity purchases. Non-energy operating costs were $11.2 million lower than budget due to less-than-planned costs for contracted services, energy programs, and staff vacancies. The fourth quarter will see an increase in RA costs which will reduce the growth in net position.

Net position at the end of June 30, 2024, totaled $284.3 million, a $42.5 million increase from the start of the fiscal year. The increase is attributed to growth in prepaid expenses to suppliers, accrued

revenue, collateral posted with the CAISO and suppliers, and the increased long-term asset purchase (San Luis Obispo satellite office). Cash, cash equivalents, and short-term investments totaled $231.6 million, a $23.4 million decrease from the start of the fiscal year. This decrease is primarily due to the prepayment of RA purchases that occurred in April. Liquidity is expected to increase through the end of the fiscal year.

FISCAL IMPACT:

There is no financial impact associated with receiving this report.

ATTACHMENT(S):

1. June 30, 2024 Financial Report

FINANCIAL REPORT
Fiscal Year to Date
As of June 30, 2024

ACCOUNTANTS’ COMPILATION REPORT
Board of Directors
Central Coast Community Energy
Management is responsible for the accompanying financial statements of Central Coast Community Energy (a California Joint Powers Authority) which comprise the statement of net position as of June 30, 2024, and the related statement of revenues, expenses, and changes in net position, and the statement of cash flows for the period then ended in accordance with accounting principles generally accepted in the United States of America. We have performed a compilation engagement in accordance with Statements on Standards for Accounting and Review Services promulgated by the Accounting and Review Services Committee of the AICPA. We did not audit or review the accompanying statements nor were we required to perform any procedures to verify the accuracy or completeness of the information provided by management. Accordingly, we do not express an opinion, conclusion, nor provide any assurance on these financial statements.

Management has elected to omit substantially all of the note disclosures required by accounting principles generally accepted in the United States of America in these interim financial statements.

Central Coast Community Energy’s annual audited financial statements include the note disclosures omitted from these interim statements. If the omitted disclosures were included in these financial statements, they might influence the user’s conclusions about the Authority’s financial position, results of operations, and cash flows. Accordingly, these financial statements are not designed for those who are not informed about such matters.

We are not independent with respect to the Authority because we performed certain accounting services that impaired our independence.

Maher Accountancy
San Rafael, CA
July 29, 2024
1101 Fifth Avenue, Suite 200 San Rafael, CA 94901 415 459 1249 mahercpa.com

Current assets
Cash and cash equivalents - unrestricted $ 184,037,588
Accounts receivable, net of allowance 32,948,921
Accrued revenue 31,434,143
Other receivables 696,117
Loan receivable 190,718
Prepaid expenses 59,988,957
Deposits 17,706,532
Cash - restricted 294,000
Investments 47,525,436
Total current assets 374,822,412
Noncurrent assets
Deposits 23,182
Loan receivable 1,330,079
Lease asset, net of amortization 1,174,737
Land 898,658
Capital assets, net of depreciation and amortization 1,878,480 Total noncurrent assets 5,305,136
Total assets 380,127,548
Current liabilities
Accrued cost of electricity 53,973,828
Accounts payable 1,193,915
Other accrued liabilities 1,424,996
Due to broker 11,186,910
User taxes and energy surcharges due to other governments 1,828,145 Lease liability 318,925
Total current liabilities 69,926,719
Noncurrent liabilities
Security deposits - energy suppliers 24,931,424
Lease liability 925,069
Total noncurrent liabilities 25,856,493
Total liabilities 95,783,212
Net investment in capital assets 2,707,881
Restricted for security collateral 294,000
Unrestricted 281,342,455
Total net position $ 284,344,336

NET POSITION
As of June 30, 2024

STATEMENT OF NET POSITION

CENTRAL COAST COMMUNITY ENERGY
ASSETS

LIABILITIES

OPERATING REVENUES
Electricity sales, net 380,373,393$
Other income 81,179
Total operating revenues 380,454,572

OPERATING EXPENSES
Cost of electricity 325,704,952
Contract services 8,928,914
Staff compensation 5,663,529
Other operating expenses 1,240,766
Program incentives 4,805,224
Depreciation and amortization 435,707
Total operating expenses 346,779,092
Operating income (loss) 33,675,480

NONOPERATING REVENUES (EXPENSES)
Interest and investment returns 8,849,701
Interest and financing costs (52,170)
Nonoperating revenues (expenses) 8,797,531
CHANGE IN NET POSITION 42,473,011
Net position at beginning of period 241,871,325
Net position at end of period $ 284,344,336
Nine Months Ended June 30, 2024

AND CHANGES IN NET POSITION

STATEMENT OF REVENUES, EXPENSES

CENTRAL COAST COMMUNITY ENERGY

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers 380,438,928$
Other operating receipts 82,460
Receipts of deposits and collateral 18,668,903
Payments to suppliers for electricity (376,563,013)
Payments of deposits and collateral (35,207,197)
Payments for other goods and services (11,023,743)
Payments for program incentives (5,492,032)
Payments of staff compensation (5,377,640)
Payments of taxes and energy surcharges to other governments (6,746,798) Net cash provided by operating activities (41,220,132)

CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES
Interest and related expense payments (5,944)
Net cash provided by non-capital financing activities (5,944)

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Payments of lease liability (269,604)
Payments to acquire capital assets (2,362,549)
Net cash provided (used) by capital and related financing activities (2,632,153)

CASH FLOWS FROM INVESTING ACTIVITIES
Investment income received 8,494,487
Proceeds from investment sales 113,932,461
Principal payments received of loan receivable 187,201
Purchase of investments (90,458,201)
Net cash provided (used) by investing activities 32,155,948 Net change in cash and cash equivalents (11,702,281)
Cash and cash equivalents at beginning of year 196,033,869 Cash and cash equivalents at end of period $ 184,331,588 Reconciliation to the Statement of Net Position
Cash and cash equivalents - unrestricted $ 184,037,588
Cash - restricted 294,000
Cash and cash equivalents $ 184,331,588
Nine Months Ended June 30, 2024

STATEMENT OF CASH FLOWS

CENTRAL COAST COMMUNITY ENERGY

Operating income (loss) $ 33,675,480
Adjustments to reconcile operating income (loss) to net cash provided by operating activities
Depreciation and amortization expense 435,707
(Increase) decrease in:

Accounts receivable, net of allowance (189,646)
Accrued revenue (6,569,038)
Other receivables 3,365,441
Prepaid expenses (59,608,746)
Deposits (11,212,438)
Increase (decrease) in:

Accrued cost of electricity 5,051,352
Accounts payable (1,600,001)
Other accrued liabilities 683,195
User taxes and energy surcharges due to other governments 74,418 Security deposits - energy suppliers (5,325,856)
Net cash provided by operating activities (41,220,132)$

CENTRAL COAST COMMUNITY ENERGY
STATEMENT OF CASH FLOWS (continued)
Nine Months Ended June 30, 2024

RECONCILIATION OF OPERATING INCOME (LOSS) TO NET

CASH PROVIDED BY OPERATING ACTIVITIES

ACCOUNTANTS’ COMPILATION REPORT
Board of Directors
Central Coast Community Energy
Management is responsible for the accompanying special purpose statements of Central Coast Community Energy (a California Joint Powers Authority) which comprise the budgetary comparison schedule for the periods ended June 30, 2024, and for determining that the budgetary basis of accounting is an acceptable financial reporting framework. We have performed a compilation engagement in accordance with Statements on Standards for Accounting and Review Services promulgated by the Accounting and Review Services Committee of the AICPA. We did not audit or review the accompanying statement nor were we required to perform any procedures to verify the accuracy or completeness of the information provided by management. Accordingly, we do not express an opinion, a conclusion, nor provide any assurance on this special purpose budgetary comparison statement.

The special purpose statement is prepared in accordance with the budgetary basis of accounting, which is a basis of accounting other than accounting principles generally accepted in the United States of America. This report is intended for the information of the Board of Directors of the Authority.

Management has elected to omit substantially all of the note disclosures required by accounting principles generally accepted in the United States of America in these interim financial statements.

Central Coast Community Energy’s annual audited financial statements include the note disclosures omitted from these interim statements. If the omitted disclosures were included in these financial statements, they might influence the user’s conclusions about the Authority’s financial position, results of operations, and cash flows. Accordingly, these financial statements are not designed for those who are not informed about such matters.

We are not independent with respect to the Authority because we performed certain accounting services that impaired our independence.

Maher Accountancy
San Rafael, CA
July 29, 2024
1101 Fifth Avenue, Suite 200 San Rafael, CA 94901 415 459 1249 mahercpa.com

Actual Budget $ Variance
%
Variance Actual Budget $ Variance
%
Variance
Annual
Budget
Annual Budget
Less Actual
YTD

REVENUES AND OTHER SOURCES
Electricity sales $ 49,045,350 $ 46,403,000 $ 2,642,350 6% $ 385,500,728 $ 413,280,000 $ (27,779,272) 93% $ 563,933,447 $ 178,432,719 Uncollectible accounts (652,479) (625,000) (27,479) 4% (5,127,335) (5,625,000) 497,665 91% (7,500,000) (2,372,665) Electricity sales, net 48,392,871 45,778,000 2,614,871 6% 380,373,393 407,655,000 (27,281,607) 93% 556,433,447 176,060,054 Investment and miscellaneous income 850,807 533,000 317,807 60% 8,930,880 4,800,000 4,130,880 186% 6,400,000 (2,530,880) Total revenues and other sources 49,243,678 46,311,000 2,932,678 6% 389,304,273 412,455,000 (23,150,727) 94% 562,833,447 173,529,174 EXPENDITURES AND OTHER USESCurrent Expenditures
Cost of energy 47,876,973 51,000,000 3,123,027 6% 326,388,693 325,416,000 972,693 100% 520,297,514 193,908,821 Salaries and benefits 716,896 795,000 78,104 10% 5,663,529 7,153,000 (1,489,471) 79% 9,537,076 3,873,547 Services and supplies 1,555,954 2,750,000 1,194,046 43% 15,002,421 24,750,000 (9,747,579) 61% 32,998,857 17,996,436 Total current expenditures 50,149,823 54,545,000 4,395,177 8% 347,054,643 357,319,000 (10,264,357) 97% 562,833,447 215,778,804 Surplus (deficit) $ (906,145) $ (8,234,000) $ 7,327,855 -89% 42,249,630 $ $ 55,136,000 $ (12,886,370) -23% $ (42,249,630) - $ Annual

CENTRAL COAST COMMUNITY ENERGY

BUDGETARY COMPARISON SCHEDULE
Current Month and Nine Months Ended June 30, 2024
Current Month
Variance fav. (unfav.)
Year-To-Date
Variance fav. (unfav.)

Budget Item YTD Variance Comment
Electric Sales Revenue (6.7%) Sales revenue includes revenues actually billed to customers as well as estimated customer usage during the reporting period that is not yet billed.

Cost of Energy 0.3% Variances in this category are typically due to (1) timing difference between projected and actual REC deliveries, (2) variance from actual to anticipated market prices, and (3) variance from actual to expected volume used by customers. Cost of energy includes scheduling coordinator fees for budget purposes only.

Staffing (20.8%) Staffing expenses are under budget due to the timing of new hires.

Professional Services (60.9%) This category includes accounting, IT, technical and other consultants.

Legal Costs (18.7%) This category includes outside legal costs for regulatory and energy procurement needs.

Marketing and customer enrollment (18.8%) Variance is mostly due to the lower than anticipated costs of recent customer enrollments.

Data Management Services 2.2% These fees non-discretionary and are charged on a per customer basis.

Utility Service Fees (3.6%) These are PG&E and SCE fees charged on a per customer basis.

Other General & Administrative (46.2%) This category includes occupancy costs, industry membership dues, and other general and administrative costs.

Energy and Related Programs (52.4%) Programs expenses have generally been delayed until future periods Budget Commentary for significant items

CENTRAL COAST COMMUNITY ENERGY
October 1, 2023 through June 30, 2024

1.1%
-11.4%
Act
Bud
$54.0
$82.2
$36.1
$0.0
$20.0
$40.0
$60.0
$80.0
$100.0
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Actual
Budget
$380.4
$407.7
$556.4
$0.0
$100.0
$200.0
$300.0
$400.0
$500.0
$600.0
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Actual
Budget
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Actual (T48/T8) 416 393 409 406 358 368 360 340 351
Budget 452 459 444 420 402 416 419 383 386 405 423 427
0 50
100
150
200
250
300
350
400
450
500

CUSTOMERS

SALES VOLUME
351 GWh

STD MARGIN
$0.5M (1%)
Δ in NET ASSETS
-$0.9M
Cumulative YTD Electricity Sales
Cumulative YTD Direct Margin
(Electricity Sales less Cost of Energy)
Data Definitions:

CUSTOMERS: Count of active customers from Calpine.

REPORTED / SALES VOLUME: Best available estimate of actual meter volume. Currently based on T+8 SQMD Report and T+48 when available.

REVENUE: Total Operating Revenue, net of uncollectible, (excludes Interest income).

ELECTRICITY SALES: Sales from electricity (net of uncollectible).

STD MARGIN: Electricity Sales less cost of energy (Forecasting & scheduling included in Cost of Energy to match budget) ACTUAL: Same as sales volume above
BUDGET: Volumes from FY23/24 budget
Monthly Sales Volume (GWh)
Financial Dashboard: June 2024

CUSTOMERS
457,000
ACTIVE
June revenue of $49.2M accounts for 351
GWh in net retail consumption, 35 GWh
below budget.

YTD Electricity revenue is $380M compared
to budget of $408M. YTD Direct Margin
(defined as Electricity Sales less Cost of
Energy) of $54M is below budget by $28M.

The chart to the right shows volume
comparison to budgeted volume.

The charts below display cumulative
revenue and margin $ vs budget.
30%
48%
23%
38%
47%
14%
Res
Com
Ag
YTD Month
Revenue $49.2
C.O.E. $47.9
OpEx $2.2
Net Income -$0.9
$0.5
-$5.2
Act
Bud
Margin $
10 34%
45%
22%
42%
45%
13%
Res
Com
Ag
YTD Month

REVENUE
$49.2M
Margin %

Return of Investments YTD Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep CASH AND CASH EQUIVALENTSRiver City Bank/ Chase - Money Market and other Interest Earning AccountsFunds Invested - Average Balance 132,319,400$ 114,651,102$ $ 105,356,390 $ 104,396,252 $ 103,895,294 $ 136,670,988 $ 89,128,674 $ 103,094,923 $ 99,733,192 Gains/Losses/Interest $ 3,247,111 $ 406,536 345,045.39 356,733.82 348,153.12 328,669.77 467,310.22 292,100.83 359,957.02 342,604.48 Average APY 3.69% 3.61% 4.06% 4.00% 3.80% 4.10% 3.93% 4.19% 4.12%INVESTMENTSRiver City Bank - Treasury-indexed productsFunds Invested - Average Balance $ 40,000,000 $ 50,000,000 $ 40,000,000 $ 40,000,000 $ 30,000,000 $ 30,000,000 $ 20,000,000 $ 6,700,000 $ - Gains/Losses/Interest $ 1,277,633 178,385.54 213,485.85 236,035.13 205,868.28 193,103.80 116,602.81 103,270.38 30,881.04 - Average APY 5.35% 5.12% 7.08% 6.18% 7.72% 4.66% 6.20% 5.53%RBC GAM / Principal Financal/ Schwab/FidelityFunds Invested - Average Balance $ 84,038,064 $ 89,456,032 $ 104,918,181 $ 110,378,734 $ 109,851,410 $ 85,196,666 $ 102,094,893 $ 116,668,316 $ 123,250,987 Gains/Losses/Interest $ 3,884,143 351,852.83 417,968.37 462,148.76 463,382.88 411,214.03 409,319.23 398,176.83 488,291.25 481,788.55 Average APY 5.02% 5.61% 5.29% 5.04% 4.49% 5.77% 4.68% 5.02% 4.69%

CENTRAL COAST COMMUNITY ENERGY
Investment Summary
October 1, 2023 through June 30, 2024

Current 0 - 30 Days 31 - 60 Days 61 - 90 Days > 91 Days A/R Balance $ 20,528,706 $ 9,754,550 $ 1,721,164 $ 236,656 $ 707,846 $ 32,948,922

CENTRAL COAST COMMUNITY ENERGY
Summary of Accounts Receivable, Net of Bad Debt Allowance As of June 30, 2024

Staff Report Item 8
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Juan Lopez, Director of Finance
SUBJECT: Investment Performance Report for the period of October 1, 2023 through June 30, 2024
DATE: September 19, 2024
RECOMMENDATION:

Receive the 3CE’s investment performance report for the period of October 1, 2023 through June 30, 2024.

BACKGROUND:

In early 2023, staff took guidance from the Audit and Finance Committee (“Committee”) to add operating and investment diversification to mitigate the risk of holding assets in a few concentrated financial institutions. Since the diversification was completed, staff has presented the report to the Committee quarterly in addition to including the reports in the Operations and Policy board meetings.

DISCUSSION/ANALYSIS:

The Finance Department continues its efforts to right-size 3CE’s portfolio. The strategy consists of holding three different “classes” of funds: cash to meet ongoing operating costs, liquidity reserves to meet collateral calls and unforeseen costs, and short-term investments to meet reserves, including the strategic reserve and energy rate stabilization funds. As of June 30, 2024, nine months into FY 2023-24, 3CE held $231.6 million in operating and investment accounts. The table below lists the cash and investment balances by account type.

Account Type Institution Balance Investment Mix
Operating
River City Bank $72,023,856
Cash (sweep) - $58.2M
money market - $8.8M
cash (operating) - $5.0M
Chase 25,101,271 cash (held for collaterals)
Investment
Schwab 66,805,820
Treasuries - $55.7M
cash (sweep) - $10.6M
money market - $0.5M
Fidelity 67,632,077 Treasuries - $66.0M
money market - $1.6M
Total $231,563,024
The investment strategy is passive, where fixed-income holdings such as Treasury notes and bills are held to maturity, and 3CE receives the coupon income and discount. As of June 30, 2024, 3CE served as investment manager of the $134.4 million held in the Schwab and Fidelity brokerage accounts. The average annual percentage yield for Treasuries ranged from 4.69% to 5.02% over the third quarter. All Treasuries have a maturity date of less than one calendar year. All investment holdings managed are high-grade rated investments or higher.
3CE’s investment mix aligns with the Investment Policy and California Government Code. As of June 30, 2024, 3CE held $98.9 million in cash and cash equivalents, $121.7 million in U.S. Treasuries, and $11.0 million in money market funds. Aside from money market funds, all other investment types do not have state investment limits. The State code limits money market funds to 20% of the portfolio. 3CE is well within the State limit at 5%.

Cash and Investment Holdings
Type Market Value
% of
Portfolio
Permitted by
CA Government Code
Cash $98,852,645 43% 100%
Money Market Funds 10,991,068 5% 20%
U.S. Treasuries 121,719,311 53% 100%
Total $231,563,024 100%
The FY 2023-24 Adopted Budget, with appropriations of $562.8 million, included estimated investment revenues of $6.4 million. The first three quarters of FY 2023-24 netted investment earnings of $8.8 million, $3.2 million from interest on cash and money market accounts, and $5.2 million from short-term investments, mostly from Treasuries. The FY 2023-24 Mid-Year Budget Forecast estimated investment income of $10.0 million, $3.6 million or 55% higher than budget. 3CE anticipates seeing similar investment earnings in the remaining quarter and will likely supersede the $10.0 million estimate.

This report was presented to the Audit and Finance Committee during its August 28, 2024 special meeting.

FISCAL IMPACT:

There is no fiscal impact to receiving this report.

CONCLUSION:
3CE proactively diversified its financial institutional partners while putting cash and short-term investments to work to take advantage of a continued high-interest environment while retaining cash for ongoing operating costs and collateral calls.

Staff Report Item 9
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
SUBJECT: CEO Report
DATE: September 19, 2024

STAFFING UPDATE
Ryley Kelly joined 3CE on August 19, 2024, as a Power Resources Planner. Ryley graduated from CSU Sacramento with a bachelor’s degree in economics. Ryley began his professional career in the utility industry in 2015 as a Data Management Specialist and Rate Analyst responsible for rate modeling and business intelligence reporting in the environmental utilities space. In 2019, Ryley began working as an Electric Resource Planner and Energy Trader for the City of Roseville Electric Utility, where he supported their term trading function, providing lead analytical work for Roseville’s Integrated Resource Planning, and conducting renewable resource valuations.

RESOURCE ADEQUACY (RA) REFORM
In the first week of September, 3CE met with Directors at the California Public Utilities Commission (CPUC) overseeing the new Resource Adequacy (RA) paradigm going into effect next year, known as Slice-of-Day (SOD). 3CE communicated to the CPUC our concerns with the implementation efforts to date, and the market uncertainty it is creating that has impacted all load serving entities and sellers of RA. We noted their compliance validation tool, which is on version 31, is still not working and is interfering with 3CE’s ability to make sound procurement decisions around compliance. We offered to provide insights into the market if that will facilitate improvements to the CPUC’s implementation efforts. CPUC indicated they expect to address 3CE’s primary concerns in version 32, due to be released September 19.

CEC LOAD MANAGEMENT STANDARDS (LMS)
In February 2024, 3CE’s Operations Board approved our Load Management Standards (LMS), as required by the California Energy Commission (CEC) for applicable Load Serving Entities (LSEs) such as 3CE. The CEC is seeking to use electric rates to promote shifting electricity use from peak times, which are expensive and polluting, to times when it is cheaper and cleaner. In 3CE’s Board-approved plan, we

adopted an initial plan to participate in a pilot program known as AgFIT (Agricultural Flexible Irrigation Tariff) for agricultural customers in partnership with PG&E. 3CE staff met with the CEC in early September and were informed by the CEC they expect to provide further guidance to 3CE regarding the development and implementation of load-shifting rates for all customer classes.

RELIABLE AND CLEAN POWER PROCUREMENT PROGRAM (RCPPP)
The State of California is in the process of forming a new procurement program, called the Reliable and Clean Power Procurement Program (RCPPP), that will be tasked with determining the quantity, timing, and compliance parameters for reliable and clean resources throughout the state to ensure the state meets its greenhouse gas (GHG) reduction goals. The RCPPP will align various existing CPUC procurement programs, including Resource Adequacy (RA), Renewable Portfolio Standards (RPS), and Integrated Resource Planning (IRP). 3CE is monitoring this effort closely and is concerned about the impact the RCPPP may have on 3CE’s ability to meet its own goals. An initial RCPPP staff design paper, originally expected in July, has been delayed. 3CE staff will provide updates when more information is available.

ATTACHMENT(S):

None.

Staff Report Item 10
TO: 3CE Policy Board of Directors
FROM: Gine Johnson, Community Advisory Council Chair
SUBJECT: Community Advisory Council Report
DATE: September 19, 2024
Summary of the 8/7/24 CAC meeting:

As Board members are aware, the Community Advisory Council (CAC) receives several information items from 3CE staff at each CAC meeting that are routinely presented to both the Policy and Operations Boards. At the 8/7/24 CAC meeting, the routine items included a staffing update, a description of an intern program to develop leadership and a recap of decisions made by the Policy Board at its June meeting. As these items are also presented to the Policy and Operations Boards with detailed staff reports, a summary is not included here.

In addition to receiving an update on the FY 2023-24 Energy Programs, staff presented their proposal for the FY 2024/25 Energy Programs with a launch schedule. Several CAC members commented on the increasingly high quality of the staff presentations and posed several questions before unanimously approving a recommendation to your Boards for adoption of the FY 24/25 Energy Programs Portfolio. Of note was a good discussion regarding performance metrics and the evaluation methodology to be used for continuous program improvements. Staff also gave CAC members the opportunity to learn about the community engagement plan to enroll the City of Atascadero and County of San Luis Obispo.

Proposed CAC Workplan for FY 2024-25 for your consideration At the direction of the Policy Board, Mr. Shaw, Ms. Stedman, and I worked collaboratively to develop a draft CAC workplan to be discussed at the August 7th CAC meeting. We focused on outlining a plan that aligned Board priorities and refined the CAC’s role in supporting those priorities, including 3CE energy programs, community engagement and communications, and feedback to staff and the respective Boards on topics when requested to do so.

Development of the draft workplan built on the successes, challenges and lessons learned from the implementation of the FY 23/24 workplan which focused on one topic, demand response. By centering the CAC meetings on one critical and complicated topic during FY 23/24, the CAC members bolstered their institutional and technical knowledge but also broadened their perspective on the need to improve the agency’s connection with the local communities in 3CE service area. Energy program

participation data from FY 23/24 showed a definitive need to educate customers about the benefits and programs offered by 3CE, identify ways to increase program participation and offer opportunities to receive direct feedback on customer priorities. To that end, the draft workplan for FY 24/25 proposed to focus on another critical and complicated service area, the Electrify Your Home program, and to create additional community engagement and communication opportunities throughout 3CE service area with a series of public study sessions. The clear data-driven need to increase geographic participation in the program, ensure that low- and fixed-income customers would have a simpler path to program utilization, and build relationships with local community-based organizations and stakeholders, indicated the benefit of connecting on the “ground level” with each of the local areas in 3CE service territory.

The proposed workplan was unanimously approved at the August 7th CAC meeting after a lengthy discussion with significant input from the members, especially regarding effective approaches to reaching low- and fixed-income households. CAC members indicated their enthusiasm for hosting and participating in the public study sessions and working more directly with local community based organizations and stakeholders in 3CE service area.

Please feel free to reach out if you have any questions. I can be reached at [email protected] and will be attendance at the annual meeting for additional discussion.

Staff Report Item 11
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Dewayne Woods, Chief Financial Officer
SUBJECT: Update on status of real property acquisitions and provide direction regarding evaluation principles for future real property transactions DATE: September 19, 2024
RECOMMENDATION:

This recommends the Operations Board receive an update on status of real property acquisitions and provide direction regarding evaluation principles for future real property transactions.

BACKGROUND
In October 2019, the Operations Board approved site selection criteria for a corporate headquarters as follows:
 Location (e.g., commute time for 3CE employees, directors, and council members)  Availability and cost of real property
 Buildability of lot or functionality of existing space layout  Ordinances or zoning considerations
 Infrastructure conditions (e.g., roads and utilities)  Proximity to highways and services such as restaurants  Ability to recruit and retain a talented workforce
Thereafter, the Policy Board directed the CEO to conduct a search for a permanent Monterey regional headquarters. Through the application of the above criteria, staff twice identified potential facilities. In 2019, the Policy Board approved the negotiation and purchase of 3.4 acres of land in Marina, California on which a headquarters would be developed. In 2022, the Policy Board approved the negotiation and purchase of an 11,200 sq/ft building and 4.28 acres of coastal land in Pacific Grove, California. Both negotiations ultimately failed due to market conditions and inability to finalize terms favorable to 3CE.

In December 2023, the Policy Board considered additional criteria and benefits ultimately approving the negotiation and purchase of 1026 Palm Street, San Luis Obispo, a 5,019 sq/ft office building with 17 allocated private parking spaces. In addition to the above criteria, the Policy Board considered the following benefits to replacing 3CE’s existing leased space.  Ability to meet current operational needs and provide opportunity for future expansion  A large meeting space that could facilitate local community engagements and support the Boards by providing a central location for hybrid board meetings  Create a strong local presence with a central location in the San Luis Obispo region  On-site parking allowing for charging infrastructure as a showcase for visitors  Potential revenue generation for rent from office spaces not occupied by 3CE  Increased employee recruitment and retention with a newer office space located in a more centralized vibrant area
The Policy Board also discussed the importance of ADA access and nearby public transportation options.

In February 2024, as part of the CEO administrative review, the Executive Committee recommended and the Policy Board considered an agency goal to “Increase customer awareness while retaining 90% of customer load, successfully enrolling new communities, and establishing [regional] office locations in San Luis Obispo, Santa Cruz, and Monterey.”
3CE currently rents approximately 14,995 sq/ft at 70 Garden Court, Monterey, California. The projected annual lease is approximately $375,000 with the initial lease term set to expire January 2026.

Additionally, 3CE currently owns the 1026 Palm location where renovations are underway.1 DISCUSSION/ANALYSIS:

Shared principles and criteria to guide 3CE’s acquisition and ownership of real property will enable staff to identify key acquisition opportunities that can support 3CE’s long term mission, provide greater connection to, and access for, customers while also establishing 3CE as a visible member of our communities.

Approximately 50% of our staff work on-site in the Monterey office. The current Monterey facility is proving insufficient to accommodate 3CE’s operational needs as the building lacks the flexibility required for our evolving requirements. The building has insufficient conference spaces and flexible spaces to accommodate meetings, hosting visiting staff, or to allow growth. The Monterey facility lacks proper maintenance, often resulting in interruptions to work, and is difficult for the public to identify and access. The growing deficiencies in the Monterey facility are paired with increasingly less favorable lease terms.

1 3CE is also on a continuing month to month lease for 90 Zaca Lane located in San Luis Obispo.

With a staff projected at 56 full time equivalent employees and a geographic service area of more than 12,000 square miles, staff recommends replacing the Monterey facility while also pursuing a limited number of smaller, more flexible regional offices to better support customers, our Boards, and improve employee recruitment and retention.

Like the San Luis Obispo facility, smaller regional facilities would demonstrate 3CE's investment in our local communities and provide accessible venues for community members to learn about and participate in energy programs, meet with staff, and voice questions or ideas. The offices can function as collaboration hubs, facilitating deeper partnerships with member agency staff and hosting events or workshops related to energy demand, electrification, or other relevant topics. When critical policy changes arise, these local offices offer spaces for public forums, open houses, and listening sessions. By maintaining a consistent physical presence, 3CE will demonstrate its dedication to transparency, community involvement, and long-term investment in the areas it serves, thereby strengthening public trust and fostering a sense of shared ownership in the 3CE's mission.

Board direction and guidance regarding staff’s approach to strategic property acquisition and ownership is paramount for achieving action withing the next fiscal year. Staff recommends continuing assessing potential properties under the previously directed 2019 selection criteria and the benefits considered when assessing the San Luis Obispo facility.

Further, staff recommends that any facility identified for potential purchase first be evaluated as follows:

Needs Assessment: Staff will conduct a thorough assessment to identify the specific needs, objectives, and business functions that the property acquisition aims to address.

Long-term Vision: Staff will ensure and demonstrate how the potential property purchase aligns with the agency’s long-term strategic goals and community engagement plans.

Financial Responsibility: Staff will prepare a financial assessment of any potential purchase, including:
 Budgeting: Ensure that property acquisitions are within the allocated budget and do not compromise other essential services.
 Cost-Benefit Analysis: Perform a detailed cost-benefit analysis to evaluate the financial implications and potential returns on investment.

Location Assessment: Staff will evaluate proposed locations and present on the potential benefits regarding:
• Proximity to public transportation, major roads, and availability of public parking. • Impacts on existing and potential staffing, as well as the ability to facilitate coordination with member agencies, board members, and other CCA working groups. • Identify potential strategic partnerships.
• Assessment of local real estate market trends, including comparable property values and rental rates.

Legal and Regulatory Compliance
• Due Diligence: Conduct thorough due diligence to ensure compliance with all relevant laws, regulations, and zoning requirements. Including ADA accessibility. • Environmental Considerations: Assess environmental impacts and ensure that property acquisitions comply with environmental protection standards.

Risk Management
• Risk Assessment: Identify and evaluate potential risks associated with property acquisition and ownership, including financial, legal, and operational risks. • Mitigation Strategies: Develop and implement strategies to mitigate identified risks.

FISCAL IMPACT:

There is no fiscal impact from the adoption of principles for property acquisition and ownership. Any facility acquisition proposal will be supported by a full fiscal analysis and will be brought to the Policy Board for approval.

CONCLUSION:

Adoption of guiding principles will align staff’s property identification process with Board direction and provide the Boards with valuable information to support their decision-making when potential properties are brought forward for consideration.

ATTACHMENT(S):

None.

Staff Report Item 12
TO: 3CE Policy Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Juan Lopez, Director of Finance
SUBJECT: Adopt Resolution No. PB-2024-08 approving the Fiscal Year 2024-25 Recommended Budget and Calendar Year 2025 cost-based rates
DATE: September 19, 2024
RECOMMENDATION:

It is recommended that the Policy Board adopt Resolution No. PB-2024-08 approving the Fiscal Year 2024-25 Recommended Budget and Calendar Year 2025 cost-based rates.

BACKGROUND:

The Policy Board adopts an annual budget for the fiscal year that runs from October 1st through September 30th. Attached is the FY 2024-25 Recommended Budget that provides detailed information on the budget, including major cost drivers and corresponding cost-based rates required to maintain fund operations.

Over the past year, the Policy Board adopted staff recommendations to set the policy direction of the Recommended Budget's construction. The Financial Policies adhere to liquid reserves to support long-term business operations, build collateral power procurement, maintain the “A” credit rating, and minimize energy market volatility on customer rates. Additionally, the calendar year 2025 cost-based rates continue 3CE’s core goal of maintaining fair rates.

In 2021, the Policy Board adopted 3CE’s first cost-of-service rate design and approved rates to take effect from January 1, 2022, through December 31, 2024. The rate design was based on the cost to serve customers in PG&E territory, based on a cost-of-service analysis and rate design that maintained competitiveness with the incumbent investor-owned utility (IOU) and recovered the forecasted necessary revenue requirement for 3CE to operate.

In the current year, 3CE completed a territory-wide Cost of Service (COS) assessment for the rate design process for calendar years (CYs) 2025 through 2027 based on representative customer load profiles and customer usage. Over the current year, staff provided ongoing updates on these rate-setting efforts to the Operations Board, the Audit and Finance Committee, and the Policy Board. On June 26, 2024, the Policy Board adopted the 2025 calendar year rate structure methodology. Following the Policy Board’s direction, the single-territory rate approach ensures that 3CE recovers accurate, appropriate revenues from each customer class based on the cost to serve them, regardless of where in 3CE’s territory they reside.

Based on these policy directions and 3CE’s continued commitment to its mission, the Recommended Budget ensures the continued success of delivering clean and renewable energy while also stabilizing customer rates amidst an ever-changing regulatory environment and rising wholesale energy market.

DISCUSSION/ANALYSIS:

The Recommended Budget aligns with 3CE’s mission and goal of meeting 100% of customers’ energy demand with reliable, clean, and renewable energy while investing in its communities and ensuring fair and responsible rates. The number of customers served by 3CE will increase in FY 2024-25 with the enrollment of unincorporated San Luis Obispo County and the City of Atascadero in January 2025.

To carry out the agency’s mission and serve this increased load, the Recommended Budget totals $730.3 million in appropriations, with addition to reserves of $40.0 million funded by operating revenues of $753.0 million and the use of the Capital Infrastructure Reserve of $17.3 million for capital infrastructure. The Recommended Budget seeks funding for 56 full-time equivalent (FTE) positions.

Summary of the Recommended Budget
The Recommended Budget represents a $167.5 million increase from the prior year’s Adopted Budget.

Cost of Energy (COE) is the primary driver of the increase, accounting for $145.0 million of the request.

The increase in COE is due to the additional load for two newly enrolled communities which will increase the agency’s load demand by 13% and higher Resource Adequacy (RA), Renewable Portfolio Standard (RFS), and energy costs. The COE accounts for 91% of all expenditures and is the main driver of 3CE’s costs, outpacing all other expenditures. All non-COE expenditures account for the remaining 9% of overall costs.

Costs for salaries and benefits are budgeted at $12.5 million, a $3.0 million increase compared to the adopted budget. The increase is driven primarily by the agency’s success in filling historically vacant roles and positions approved in the current budget year, merit increases, cost-of-living adjustments (COLA), and rise in employee benefits costs such as healthcare premiums. The Recommended Budget also includes funding for four new positions that will broaden the agency’s impact on power procurement and energy management. The investment in these new positions will help to ensure that 3CE has the dedicated and knowledgeable staff necessary to actively manage our COE while accomplishing the transition to a clean and renewable energy grid.

Expenditures for services and supplies of $35.2 million are anticipated to increase by $2.2 million to cover additional billing data management services required to cater to the larger number of customer accounts with the expected enrollment of two member communities. It will also support continued involvement and leadership in California Community Power (CC Power) and the California Community Choice Association (CalCCA).

Funding for energy programs will remain at current levels but will be reallocated to support anticipated increases in program participation, the introduction of new programs and the ongoing exploration of demand response offerings. Updated strategies aimed at increasing participation in energy programs will involve revising program eligibility and scope to better meet the needs of customers.

The Recommended Budget also includes $17.3 million in capital outlay. Significant work remains to determine these capital investments, including necessary engagement and approvals from the Policy Board. However, by incorporating these appropriations in the Recommended Budget, the Board is positioned to act swiftly if investment opportunities arise in FY 2024-25. This proactive approach not only facilitates timely decision-making but also demonstrates to rating agencies that 3CE is committed to thorough capital planning as an integral part of its budgeting process.

The operating revenue of $753.0 million is $190.2 million higher than the prior year’s Adopted Budget and is necessary to fund increased expenditures and additions to reserves to align towards board-approved levels over the next three years. Staff conducted a Cost-of-Service (COS) analysis to establish a revenue requirement that forecasts costs incurred in the service of our customers. The revenue requirement includes funding to work towards meeting 3CE’s minimum reserve policy levels. The addition to reserves provides long-term rate stabilization and reinforces the agency’s financial health to

developers and credit rating agencies. Credit rating agencies consider the agency’s ability to withstand adverse conditions, and strong liquidity enhances this ability, ensuring 3CE retains its ‘A’ credit rating.

To meet operating cost pressures primarily due to increased COE, including regulatory compliance, the projected 3CE average customer class change in rates will be between $0.001 and $0.028 per kilowatt-hour (kWh). 3CE projects its proposed rates will remain competitive against investor-owned utilities (IOU) generation rates across all classes, on average, in 2025. These competitive rates reflect the success of 3CE’s strategic procurement while strengthening reserves for ongoing power procurement and customer rate stabilization. Maintaining fair rates is a core goal and key component of 3CE’s aim to meet customer demand with 100% reliable, clean, and renewable energy, provide local control of our energy decisions, promote local economic stimulation, and lead decarbonization through electrification.

To achieve competitiveness, 3CE forecasted and compared the IOU generation rates and surcharges based on regulatory filings and 3CE’s current and forecasted market rates. To ensure that the rate design provides equitable rates for our customers, it is proposed that the calculated difference between 3CE’s cost to serve each class and the forecasted cost of the IOUs be applied to each individual rate. This spreads the competitive differential uniformly to all customers. Because proposed rates have been calculated using a forecast of the IOU comparative rates, staff will monitor the IOU regulatory filings from October to December 2024 and update the comparative calculation with actuals to determine if an adjustment to the proposed rates is needed. If an adjustment is justified, staff may call for a special meeting of the Policy Board to present a proposed rate adjustment.

The Audit and Finance Committee supported the Recommended Budget at its August 28, 2024 special meeting. The Recommended Budget will be presented to the Operations Board on September 18, 2024, and to the Policy Board for adoption on September 19, 2024.

FISCAL IMPACT:

The total revenue requirement determined in the COS analysis and the rate design informed the FY 2024-25 Recommended Budget. The Recommended Budget funds $730.3 million in appropriations financed by $770.3 million in financing sources, which includes $753.0 million in operating revenues and $17.3 million in the use of the Capital Infrastructure Reserve.

CONCLUSION:

The FY 2024-25 Recommended Budget is a structurally balanced budget that provides the necessary financing to deliver clean and renewable energy, stabilize customer rates, and navigate evolving regulatory and energy market conditions. The 2025 proposed rates are based on the cost to serve each class and are designed to capture the greatest competitive differential from the IOU. This approach allows for the greatest equity and stability of the 2025 rate design while maintaining competitiveness.

ATTACHMENT(S):

1. FY 2024-25 Recommended Budget Book

2. Draft Resolution No. PB-2024-08

FISCAL YEAR
2024-25

RECOMMENDED BUDGET

Table of Contents
4 5
Leadership,
Community,
and Staff
Introduction
6 7
8 9
10 Policy Board
Operations Board
Community Advisory Council
About the Budget Process
Organization Chart
About 3CE
Our Boards
Executive Letter
Executive Summary
Financial Policies
3CE Staff Positions Schedule
Office of the CEO
General Counsel
Administrative Services
Office of the CFO
Office of the COO
Power Supply Resources
Regulatory & Compliance
Data & Analytics
Office of the CCO
Communications & Outreach
Energy Programs
Energy Programs 2024-25 Overview
Year at-a-Glance 2023-24
Power Purchase Agreements
Glossary
FY 2024-25
Budget
Presentation
Office and
Department
Summaries
Appendices
12 14
20 28
30 32
33 34
36 38
40 41
42 44
45 46
48 50
54

About 3CE
Through its dedicated Boards and professional staff, Central Coast Community Energy (3CE) is committed to serving our customers while reducing greenhouse gas emissions by accelerating the transition to 100% clean and renewable energy and maintaining responsible rates. We believe developing a renewable and reliable grid that supports the electrification of transportation, agriculture, and buildings — and incentivizing change through innovative and impactful energy programs — is necessary to build a more sustainable future for our community
3CE is an ‘A’ rated public electric generation provider comprised of 35 local government agencies across five counties. With the County of San Luis Obispo and the City of Atascadero enrolling in 2025, 3CE will serve nearly 1.3 million people through 515,000 customer accounts, representing approximately 95% of the region’s electricity load. 3CE’s peak load is projected to be at 869 MW and is estimated to provide its customers with roughly 5.6 million MWh of power in 2025. 3CE promotes long-term electric rate stability and energy security while reducing reliance on fossil fuels, protecting the environment, and stimulating our local economies.

Our Boards
3CE is governed by a Policy Board and an Operations Board, each composed of 19 seats representing our 35 Member Agencies.

The Policy Board of Directors is composed of local elected officials, appointed by their respective agencies. The Policy Board oversees the strategic direction of 3CE, sets the budget and customer rates, and approves large capital expenses.

The Operations Board of Directors is made up of City Managers, County Administrative Officers, and other Member Agency leadership executives appointed by their respective agencies. The Operations Board approves contracts and agreements not reserved by the Policy Board, or not otherwise delegated, and oversees policy implementation to ensure the successful administration of 3CE.

Policy Board
Yvette Lopez Brooks Vice Chair
City of Capitola
Das Williams
Chair
County of Santa Barbara
John Freeman
City of San Juan Bautista
Fred Keeley
City of Santa Cruz
Jan Marx
City of San Luis Obispo
Bruce McPherson
County of Santa Cruz
Jimmy Dutra
City of Watsonville
Dawn Ortiz-Legg
County of San Luis Obispo
Mary Adams
County of Monterey
Kollin Kosmicki
County of San Benito
Scott Donaldson
City of Del Rey Oaks
Alice Patino
City of Santa Maria
David Silva
City of Buellton
Jose Rios
City of Gonzales
Kyle Richards
City of Goleta
Jesús Valenzuela
City of Salinas
Jeff Baron
City of Carmel-by-the-Sea
John Hamon
City of Paso Robles
Jim Guthrie
City of Arroyo Grande

Operations Board
Mona Miyasato
Vice Chair
County of Santa Barbara
Jamie Goldstein
Chair
City of Capitola
Sonia De La Rosa
County of Monterey
Scott Wolfe
City of Buellton
Rebecca Campbell
County of San Luis Obispo
Ty Lewis
City of Paso Robles
Rene Mendez
City of Salinas
Ray Espinosa
County of San Benito
Don Reynolds
City of San Juan Bautista
Megan Hunter
City of Soledad
Matt Huffaker
City of Santa Cruz
Matt Mogensen
City of Pacific Grove
John Guertin
City of Del Rey Oaks
Bob Hill
City of San Luis Obispo
Matthew Downing
City of Arroyo Grande
Carlos Palacios
County of Santa Cruz
Alex Posada
City of Santa Maria
Michael Ramirez
City of Carpinteria
Tamara Vides
City of Watsonville

8 Community Advisory Council
Gine Johnson
Chair
County of Santa Cruz
Norman Tuitavuki
Vice Chair
County of Monterey
The Community Advisory Council (CAC) is comprised of fifteen members serving three-year terms. The Council acts as an important connection between the agency and the diverse communities it serves.

Lew Bauman
County of Monterey
Jason Sedano
County of Monterey
Rosemary Soto
County of Monterey
Richard Stedman
County of Monterey
Wayne Norton
County of San Benito
Celina Stotler
County of San Benito
Devin Best
County of San Luis Obispo
Matthew McClish
County of San Luis Obispo
Heather Allen
County of Santa Barbara
Katie Davis
County of Santa Barbara
John Hughes
County of Santa Barbara
Kris Damhorst
County of Santa Cruz
Dennis Osmer
County of Santa Cruz

About the Budget Process

THE ANNUAL BUDGET

DEVELOPMENT PROCESS

CONSISTS OF FIVE STAGES

1. Budget Initiation
Forecast 2.

Budget Development 3.

4. Budget Adoption
Budget Management 5.

Budget development begins in March.

Departments begin their financial planning
at mid-year with the creation of a detailed
financial forecast. Following the forecast,
departments submit their requested
budgets for the next fiscal year. These
requests include two parts: baseline
spending plans and augmentation requests.

The CEO reviews and prioritizes requests
based on accuracy and reasonableness,
substantiated benefits, and alignment
with Policy Board priorities. The CEO
works to build a comprehensive, rational,
and balanced spending plan for the
coming year. The Fiscal Year 2024-25
Recommended Budget will be presented
to the Policy Board at its annual meeting
beginning on September 19, 2024.
• Departments
provide current-year estimates
and forecasts
market outlook.
• Boards and
Audit & Finance
Committee
receive forecast.
• Departments
submit baseline
and augmentation
budget requests.
• Policy Board
approves the
annual Financial
Policies.
• Audit & Finance
Committee receives
the Recommended
Budget.
• Operations Board
receives the
Recommended
Budget.
• Policy Board
considers
adoption of the
Recommended
Budget.
• Management
monitors
expenditures
and estimated
revenues.
• Boards receive
monthly and
quarterly financial
reports.

MID-YEAR

FORECAST
(MARCH-APRIL)
BUDGET

DEVELOPMENT
(MAY-AUGUST)
BUDGET

ADOPTION
(SEPTEMBER)
BUDGET

MANAGEMENT
(ONGOING)

Organization Chart
Policy Board
Chief Executive Officer
General Counsel Board Clerk
Chief Financial
Officer
Administrative Services
Director of Human Resources
& Administration
Manager of
Information Technology
Human Resources
Analyst
Sr. Admin Specialist
(2) Admin Specialists
Information
Technology Specialist
(2) Policy Advisors
Energy Risk Manager
Director of Finance
Accountant
Senior Accountant
Sr. Billing Operations & Rate Analyst
Billing Operations
& Rate Analyst

Operations Board
Chief Operating Officer
Chief Communications
Officer
Director of Communications
& Outreach
Director of Energy Programs
Manager of Energy Programs
(4) Energy Programs Analysts
Manager of Customer
Accounts & Services Manager of Communications
(2) Communications Specialists
(3) Sr. Customer
Accounts Managers
(3) Customer Accounts
Managers
Director of Regulatory
Affairs & Compliance
Power Resource
Planner
Director of Power
Supply Resources
Director of Data
Analytics
Energy Contracts &
Compliance Manager
(2) Power Settlement Analysts
Manager of Energy Trading
Power Resources &
Markets Manager
Power Supply Analyst
Data Engineer Data Analyst

Executive Letter
Honorable Chair Williams
and Members of the Board,
I am proud to present the Recommended Budget
for the Fiscal Year 2024-2025. This budget is
informed by the Board’s guidance and unwavering
commitment to 3CE’s mission to serve our
Central Coast community by providing reliable
clean electricity at fair rates, as well as innovative
electrification programs aimed at reducing
greenhouse gas emissions and strengthening
our local economies. Your leadership and our
employees’ dedication have helped navigate
turbulent energy markets, significant regulatory
uncertainty, dramatic wholesale price pressures,
and mounting delays in connecting long-term
renewable projects to California’s grid. The
Recommended Budget manages these issues
through improvements in critical operational areas
while furthering our commitment to innovative
energy programs that support local climate goals
and spur local investment.

Accomplishments of the Past Year
The City of Atascadero and unincorporated San
Luis Obispo County will be enrolled into 3CE
service in January 2025. This expansion unifies
the Central Coast with a public option for electric
generation procurement.

We continue to drive incremental renewable
resource development that moves us closer to
our 100% renewable goal while helping to lower
and stabilize customer costs. In the last year, we
added 205 MW of onshore wind generation,
500 MWh of energy storage, and 177 MWh
of hybrid energy storage designed to reduce
existing natural gas generation. 3CE’s operating
projects avoided approximately 410,000 metric
tons of CO2 emissions last year alone. We
improved market scheduling operations to ensure
that these and future resources are optimized to
achieve the greatest customer benefit.
3CE’s energy programs are improved and
expanded to help accelerate climate action.

Staff have launched a new management tool
to streamline and enhance customers’
experiences with energy programs. Working
with the Community Advisory Council, we have
undergone a critical review of current offerings
and evaluated the feasibility of demand-response programs. This year, we launched 3CE’s first behind-the-meter battery incentive
program that will support customers’ control
over their energy consumption.

The Path of Progress
Looking ahead, the ever-changing regulatory
environment and rising wholesale energy
market demand 3CE’s continued focus on
delivering clean and renewable energy while
meeting our regulatory reliability obligations
and stabilizing customer rates.

Accomplishing this requires attention to
strategic procurement, optimization of our
growing portfolio, and building a robust
foundation through the strengthening of our
reserves to improve credit and contractual
terms, all of which help mitigate potential
customer rate impacts.
3CE’s energy programs will continue to
innovate and bring increased focus to
providing customers with the tools to respond
to price signals and save money, while also
reducing demand during net peak hours,
reducing greenhouse gas emissions, and
contributing to a sustainable, stable, grid.

The remarkable progress 3CE has made since
its formation in 2017 is a testament to your
collective effort and strategic vision. As we
embark on the new fiscal year, I am confident
that this Recommended Budget delivers
a fiscally responsible approach to driving
innovation and community engagement that
will bring us closer to our collective goals.

Together, we will not only meet the challenges
ahead but set new benchmarks for what is
possible in the evolving world of community-owned energy we are building together.

September 2024

Robert M. Shaw, Chief Executive Officer
Central Coast Community Energy
Thank you for your continued support and dedication.

Sincerely,

Executive Summary
Fiscal Year (FY) 2024-25 is 3CE’s sixth year serving customers across the Central Coast and seventh year of operation. The Recommended Budget for FY 2024-25 aligns with 3CE’s mission and goal of meeting 100% of customers’ energy demand with reliable, clean, and renewable energy while investing in its communities and ensuring fair and responsible rates. The number of customers served by 3CE will increase in FY 2024-25 with the enrollment of unincorporated San Luis Obispo County and the City of Atascadero in January 2025. To carry out the agency’s goals and serve this increased load, the Recommended Budget totals $730.3 million, with an addition to reserves of $40.0 million funded by estimated revenues of $753.0 million and the use of the Capital Infrastructure Reserve of $17.3 million for capital infrastructure, and the authorization of 56 full-time equivalent (FTE) positions.

The Recommended Budget represents a $167.5 million increase from the prior year’s Adopted Budget.

Cost of Energy (COE) is the primary driver of the increase, accounting for $145.0 million of the request.

The increase in COE is due to the additional load for two newly enrolled communities and to higher Resource Adequacy (RA), Renewable Portfolio Standard (RPS), and energy costs. The COE includes expenses for purchased energy, RA, RPS, and grid operation services performed by the California Independent System Operator (CAISO). The COE accounts for 91.1% of all expenditures and is the main driver of 3CE’s rates, outpacing all other expenditures, which account for 8.9% of overall costs.

The Recommended Budget includes $12.6 million in salaries and benefit costs. The $3.0 million increase is driven primarily by the agency’s success in filling historically vacant roles and hiring new staff, merit increases, cost-of-living adjustments (COLA), and employee benefits. The Recommended Budget also includes funding for four new positions that will broaden the agency’s impact on power procurement and energy management. The investment in these new positions will help to ensure that 3CE has the dedicated and knowledgeable staff necessary to accomplish the transition to a clean and renewable energy grid.

FY 2024-25 Budget Summary
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Electricity Sales 450,713,404 556,433,448 551,405,974 745,962,356 745,962,356 189,528,907 Interest and Investment
Returns 8,184,122 6,400,000 9,950,446 7,000,000 7,000,000 600,000 Other Income 2,356,837 - 88,732 68,400 68,400 68,400
Sub-Total Revenues 461,254,363 562,833,448 561,445,152 753,030,756 753,030,756 190,197,307 Capital Infrastructure Reserve - - - 17,318,000 17,318,000 17,318,000 Total Financing Sources 461,254,363 562,833,448 561,445,152 770,348,756 770,348,756 207,515,307 Cost of Energy 398,746,769 520,297,514 538,515,199 665,267,116 665,267,116 144,969,602 Salaries and Benefits 6,200,592 9,537,076 8,789,063 13,086,907 12,585,841 3,048,765 Services and Supplies 21,646,235 32,998,858 26,839,006 35,249,798 35,177,798 2,178,940 Capital Assets - - 210,000 17,318,000 17,318,000 17,318,000 Total Financing Uses 426,593,596 562,833,448 574,353,268 730,921,822 730,348,756 167,515,308 Total Budgeted Change
to Net Position 34,660,767 - (12,908,116) 39,426,934 40,000,000 40,000,000

Choice Association (CalCCA). Funding for energy programs will remain at current-year levels but will be redistributed to allow for the implementation of new programs and continued exploration of demand-response offerings.

The Recommended Budget also includes a capital outlay proposal totaling $17.3 million. As 3CE matures as an agency and solidifies its presence on the Central Coast, it is critical for the agency to invest in its permanent presence throughout its service area. This investment is funded by the Capital Infrastructure Reserve (CIR), which was established to fund investment in capital infrastructure, including real estate, enterprise software, and owned electric generation projects. 3CE recommends the use of the CIR to fund the purchase of offices in Monterey and Santa Cruz to continue to establish office and meeting space to conduct daily operations in a wider area. Preliminary estimates for the purchase and tenant improvements are estimated in the range of $17.0 million. While much work will be required to determine these capital investments, including Policy Board engagement and approvals, budgeting these appropriations allows the Board to move judiciously if investment opportunities arise in FY 2024-25.

Single-Territory Rate
The estimated revenues of $753.0 million are $190.2 million higher than the prior year’s Adopted Budget and are necessary to fund increased expenditures, and additions to reserves to align toward Board-approved levels over the next three years. Over the past year, 3CE staff conducted a Cost-of-Service (COS) analysis to establish a revenue requirement that forecasts costs incurred in the service of our customers. The revenue requirement includes funding to work toward meeting 3CE’s minimum reserve policy levels. To ensure rate stability, 3CE evaluated its annual revenue requirement through 2027 using 2025 as the test year.
3CE is the only Community Choice Aggregation (CCA) agency that spans two Investor-Owned Utility (IOU) territories. Following the Policy Board’s direction, the single-territory rate approach ensures that 3CE recovers accurate, appropriate revenues from each customer class based on the cost to serve them, regardless of where in 3CE’s territory they reside.

Maintaining fair rates is a core goal and key component of 3CE’s stated aim to meet customer demand with 100% reliable, clean and renewable energy, provide local control of our energy decisions, promote local economic stimulation, and lead decarbonization through electrification.

Expenditures for services and
supplies of $35.2 million are
anticipated to increase by
$2.2 million to cover additional
billing data management
services needed to serve the
larger number of customer
accounts anticipated with
the enrollment of two
member communities. The
Recommended Budget
includes additional funding for
3CE’s continued involvement
and leadership in California
Community Power (CC Power)
and California Community
Cost of Energy
Capital Assets
Services and Supplies
FY 2024-25 Forecasted Expenses

AS A PERCENT OF TOTAL

91.1%

4.8%

2.4% 1.7%
Salaries and Benefits

Executive Summary (continued)
*3CE on average rates in PG&E service area
*PG&E service area estimated surcharges (PCIA and franchise fees), based on 2017 customer vintage class *3CE on average rates in SCE service area
*SCE service area estimated surcharges (PCIA and franchise fees), based on 2021 customer vintage class Due to the increased the COE, including regulatory compliance, the projected 3CE average customer class change in rates will be between $0.001 and $0.028 per kilowatt-hour (kWh). 3CE projects its proposed rates will remain competitive against IOU generation rates across all classes, on average, in 2025. These competitive rates reflect the success of 3CE’s strategic procurement while planning to ensure liquidity for ongoing power procurement and customer rate stabilization.

Class Recommended
2025 Generation
Rates*
PG&E Vintage
2017* PCIA
Est. 2025
PG&E Generation
Rates
Difference (%)
Residential $0.146 $0.005 $0.177 -14%
Small Commercial $0.125 $0.005 $0.164 -21%
Medium Commercial $0.121 $0.005 $0.168 -25%
Large Commercial $0.121 $0.005 $0.147 -14%
Small & Medium Ag $0.143 $0.005 $0.154 -4%
Large Ag $0.130 $0.005 $0.154 -13%
Business Electric
Vehicle $0.119 $0.005 $0.179 -31%
Standby $0.102 $0.004 $0.117 -9%
Streetlights $0.117 $0.004 $0.139 -12%
Class Recommended
2025 Generation
Rates*
SCE Vintage
2021* PCIA
Est. 2025
SCE Generation
Rates
Difference (%)
Residential $0.133 $(0.039) $0.119 -22%
Small Commercial $0.118 $(0.036) $0.114 -28%
Medium Commercial $0.098 $(0.031) $0.099 -32%
Large Commercial $0.089 $(0.026) $0.083 -24%
Small & Medium Ag $0.112 $(0.030) $0.095 -13%
Large Ag $0.088 $(0.025) $0.081 -22%
Business Electric
Vehicle $0.092 $(0.031) $0.099 -38%
Streetlights $0.068 $(0.020) $0.063 -24%

Budgeted revenues also include $7.0 million generated by interest and investment returns – a reduction from current-year estimated earnings assuming the Federal Reserve will begin a rate-cutting cycle as early as September 2024.

Increasing Liquidity to Meet Reserve Targets and Maintain Credit Rating The Recommended Budget includes adding an estimated and maintained $40.0 million to cash reserves to bring 3CE’s reserves to 77% of the target by September 31, 2025. The addition to reserves aligns with targets established in the finance policies adopted by the Policy Board on June 26, 2024. The instability of market prices for energy, Renewable Energy Credits (RECs), and Resource Adequacy necessitate healthy reserves. In addition, the CPUC’s continued propensity to consider impactful regulatory changes that disrupt CCA hedging strategies and interject significant market uncertainty threatens to increase costs.

Credit rating agencies view strong liquidity as a key factor in assessing financial stability. CCAs, like other load-serving entities (LSEs), are subject to various risks, including regulatory changes, market fluctuations, and collateral calls. Strong liquidity provides a buffer that allows 3CE to navigate these challenges without compromising its financial health. Credit rating agencies consider the agency’s ability to withstand adverse conditions, and strong liquidity enhances this ability, ensuring 3CE retains its ‘A’ credit rating.

Renewable Portfolio Standard
In September 2020, 3CE’s Policy Board voted to set the goal of meeting 100% of retail sales with clean and renewable energy by 2030. Today, 3CE is on its way toward meeting this goal while maintaining responsible electricity rates, driving innovation in the energy sector, and providing impactful energy programs for the community.
3CE continues to enter into long-term Power Purchase Agreements (PPAs), which serve to stabilize rates and grow the agency’s renewable energy portfolio. 3CE is under agreements with seven renewable projects that are currently online and producing renewable energy that meets 29% of the agency’s retail sales. The agency has eight additional agreements with renewable projects that are currently under development and are anticipated to achieve commercial operation prior to 2027. The remaining projects are anticipated to come online before 2029. Assuming the on-time delivery of these projects, 3CE will be well-positioned to meet its 2030 goal.

While 3CE has demonstrated success in bringing new clean, and renewable resources online, the electricity generation sector, including 3CE, faces challenges that impact the expansion of renewable energy projects serving California. As a result, 3CE is seeing a $36.8 million year-over-year cost increase in RPS products.

Estimated Reserve Balances
at Year-End FY 2023-24 FY 2024-25
Strategic Reserve 128,722,322 151,386,285
Energy Rate Stabilization Reserve 96,247,101 113,083,138 Renewable Energy Innovation and
Initiatives Reserve - 500,000
Capital Infrastructure Reserve 17,318,000 -
Total 242,287,423 264,969,423

Executive Summary (continued)
Resource Adequacy
Resource Adequacy (RA) is a regulatory construct developed to ensure that there will be sufficient resources available to serve electric demand under all but the most extreme conditions. RA is a compliance product that commits generators to dispatch energy when needed. Regulatory changes have increased the amount of RA that Load Serving Entities (LSEs), such as 3CE, are required to purchase. At the same time, the retirement of fossil-burning resources and limitations on energy imports have decreased the available supply of RA. This imbalance between the demand for RA and its supply has spiked prices. The impact on 3CE has been dramatic, with RA estimated to be $17.4 million higher than the budget in the current year, likely resulting in an operating deficit. In the FY 2024-25 Recommended Budget, RA accounts for 27% of the total COE.

Despite the market and regulatory uncertainty, amplified by a higher COE, and the need to build on reserves, 3CE’s recommended average rates for electricity generation will remain competitive when compared to investor-owned utilities. The Recommended Budget strives to balance increased costs with the agency’s mission to provide renewable energy at responsible rates. Staff presents this budget as a step in the right direction to serve our communities while meeting the challenges associated with a highly competitive energy procurement market and a heavily regulated industry.

Capital Improvements/Acquisition
FY 2023-24 San Luis Obispo Office
With a wide-ranging service area from Santa Cruz to Santa Barbara, 3CE has made it a priority to be where our customers are and, in FY 2023-24, acquired a permanent office in San Luis Obispo. The office is centrally located in downtown San Luis Obispo adjacent to the City and County offices. The building is currently undergoing a remodel that will include a community room to hold meetings and events, with ample space for 3CE staff. Hoteling offices on the second floor will be available for traveling staff and board members who need a place to work. It is expected that most of the expense will be incurred in FY 2023-24, contingent on the construction schedule.

For FY 2024-25, the proposed capital expenditure budget is $17.3 million, including the acquisition and subsequent remodel of office buildings in Monterey County and Santa Cruz County, the purchase of two electric vehicles, and software costs. In addition, Energy Programs has budgeted $700,000 for agency-owned charger assets.

Monterey Office
The lease for the corporate office in Monterey expires at the end of 2025. Purchasing an office building will provide location and cost stability for 3CE. The corporate office in Monterey consists of approximately 30 office staff occupying two floors. A replacement property will seek to plan for future growth. Any recommendations will subsequently be brought forward to the Policy Board for consideration. The rough cost estimate is $12.0 million to acquire and remodel an existing facility.

Santa Cruz Office
A potential Santa Cruz location will be a regional office serving our northern territory, providing direct access to better serve our customers. It will be a smaller location open to staff, board members, and the community. Subsequently, any recommendations will be brought forward to the Policy Board for consideration. The rough cost estimate is $5.0 million to acquire and remodel an existing facility.

Software
3CE Finance plans to implement an Enterprise Resource Planning (ERP) system to encompass general ledger, reporting, accounts payable, purchasing/procurement, and payroll. Implementation of a full-service ERP will improve financial reporting and streamline processes. The cost is estimated at $200,000 for consulting and implementation.

Owned Charger Assets
With transportation accounting for over 50% of regional emissions, electric vehicle (EV) adoption is critical to effectively reducing harmful pollutants. One of the main barriers to EV adoption is the existing gap in EV charging infrastructure. 3CE will help address these gaps in EV charging infrastructure through the deployment of a phased EV charger asset program, starting with an EV Charger Asset Pilot. This pilot will consist of up to two sites with Level 2 and/or DC Fast Chargers that 3CE owns and manages. Additionally, the EV Charger Asset Pilot will result in refined scoping and implementation of a 3CE-owned charging station program that is financially feasible, operationally efficient, and enhances equitable access to electrification infrastructure. Currently, Energy Programs has recommended $700,000 for the first phase of this initiative.

Funding
Funding for capital projects is reserved in the Capital Infrastructure Reserve (CIR) and the Owned Charger Asset pilot is included in the Energy Programs budget. The CIR was established to cover the acquisition and replacement costs of 3CE’s capital infrastructure including enterprise software, real estate, and electric generation/storage facilities.

Financial Policies

1. Purpose and Background
Prudent and conservative stewardship of public assets is a principal responsibility given to the officials and managers of 3CE. The development and maintenance of financial policies enable 3CE officials to protect those public assets, ensure transparency, and build public trust. Financial policies define a shared understanding of how 3CE administers its financial affairs and communicates how the agency manages its resources to provide the highest value to the communities we serve.

This document centralizes 3CE’s financial policies and establishes a framework for overall fiscal planning, management, and decision-making related to public assets controlled by 3CE. These policies are reviewed, updated, and brought before the Policy Board as needed but at least annually for adoption.

This continued review and adoption promotes sound financial management and helps maintain 3CE’s stability, efficiency, and effectiveness by ensuring the Policy Board’s financial policy guidance is provided before 3CE takes any financial actions. The policies also offer guidelines for evaluating both current activities and proposals for future programs and direct 3CE’s financial resources toward meeting its objectives and strategic initiatives.

These policies provide general guidance in the management of the 3CE’s fiscal affairs and are to be used by all 3CE employees to meet their obligation to operate in a financially prudent manner. The Recommended Budget adheres to these policies.

2. General Financial Philosophy
The cornerstone and highest priority of 3CE’s financial policies is fiscal integrity. It shall be the goal of 3CE to achieve a strong financial condition with the ability to:
• Sustain adequate financial liquidity to meet normal operating and contingent obligations; • Ensure a sufficient financial base is maintained to withstand local, regional, national, and global economic impacts;
• Foster the ability to adjust efficiently to the community’s changing service requirements; • Maintain and improve infrastructure and capital assets; • Regularly review programs and operational methods to improve processes that result in higher productivity and eliminate repetitive and duplicative functions; • Encourage collaboration with other government entities, the private sector, and public-private partnerships where cost and risk are minimized in the delivery of services within 3CE’s service area; • Promote sharing of costs and benefits by service users; • Ensure the legal use of financial resources through an effective system of internal controls; • Support sound financial management by providing accurate and timely information on 3CE’s financial condition; and
• Provide a framework for the wise and prudent use of debt financing and maintain a good credit rating in the financial community.

21 Subheader 2.1 THE ANNUAL BUDGET
• The Chief Executive Officer (CEO) will recommend a balanced budget that aligns annual expenditures with market reasonable rates based on the revenue requirement established through a cost of service methodology and minimize the use of reserves and one-time financing sources for ongoing operating expenditures;
• 3CE will strive to maintain competitive rates while adhering to our renewable energy goals; • Through the CEO, the Chief Financial Officer (CFO) will consult with 3CE Officers and seek their input in developing the Recommended Budget through cooperative discussions and financial education; • CEO will keep the Policy Board apprised of the condition of the 3CE’s finances and emerging fiscal issues; and
• Through the CEO and Officers, 3CE will work with the California Community Choice Association (CalCCA), state representatives, legislative advocates in the State Capitol, and other local government organizations to ensure our community voice is heard regarding any state legislation or regulation affecting our stakeholders.

3. Roles and Functions

3.1 ROLE OF THE CHIEF EXECUTIVE OFFICER
The CEO serves as the chief policy advisor to the Policy Board, Operations Board, and the various Board committees. The CEO promotes responsible resource allocation, strives to protect 3CE’s financial position and integrity, and provides independent analysis on policy and financial issues. The CEO is the fund manager for the 3CE Enterprise Fund and any other funds that may be created.

3.2 PRINCIPAL FUNCTIONS OF THE CHIEF EXECUTIVE OFFICER
Principal functions of the CEO include:
• Promoting continuous improvement of the structures, systems, processes, and effectiveness of programs;
• Preparing the annual financial plan (Recommended Budget); • Working with departments to evaluate potential federal, state, and local budget impacts; • Developing financial forecasts;
• Monitoring revenues and expenditures for conformance with the annual budget; • Recommending effective fiscal policies to carry out the 3CE mission; • Verifying Policy Board policies are consistently applied; and • Ensuring items brought before the Policy Board are transparent, accurate, complete, fully justified, and reviewed by appropriate stakeholders.

3.3 PRINCIPAL FUNCTIONS OF THE CHIEF FINANCIAL OFFICER
• Carrying out financial operations efficiently and cost-effectively while adhering to all 3CE, state, and federal laws, regulations, and policies;

22 Subheader • Preparing budgets and financial estimates with attention to accuracy based on financial expertise, 3CE, state, and federal funding changes, and economic indicators affecting revenues, expenditures, and service levels;
• Reviewing, evaluating, and assessing federal and state budget issues that may impact the agency; • Developing and performing financial forecasts;
• Overseeing Middle Office responsibilities as identified in 3CE’s Energy Risk Management Policy; • Monitoring monthly revenue, expenditure, and cash flow performance and conformance with the Adopted Budget;
• Meeting the Policy Board’s strategic financial initiatives and policies; and • Ensuring items brought before the Policy Board are transparent, accurate, complete, fully justified, and reviewed by all appropriate stakeholders.

3.4 PRINCIPAL FUNCTIONS OF THE AUDIT AND FINANCE COMMITTEE The Audit and Finance Committee’s principal functions include receiving staff updates on financial issues affecting 3CE and providing oversight and direction to staff in developing and modifying the budget and audits.

3.5 PRINCIPAL FUNCTIONS OF THE ENERGY RISK MANAGEMENT COMMITTEE The Energy Risk Management Committee is formed by the CEO to implement and maintain the Energy Risk Management Policy, which requires 3CE to maintain sufficient financial reserves to:
• Establish long-term business sustainability;
• Build collateral for power procurement activities;
• Maintain an investment-grade credit rating;
• Develop funding sources for investment in generation and other local initiatives; and • Reduce the business and customer impact of year-to-year volatility in energy markets and procurement costs.

4. Services and Fund Structure

4.1 ENTERPRISE FUND
3CE operates as an enterprise fund. The enterprise fund accounts for revenues and expenditures for all 3CE activities. The fund’s operations are financed and operated like private business enterprises, where services provided are primarily funded through user charges (electric generation rates).

4.2 PROPRIETARY FUND
An enterprise fund is classified as a proprietary fund and is financed and operated like private business enterprises whose services are primarily funded through user charges.

23 Subheader 4.3 EXPENSES
Enterprise fund expenses and revenues will be established at sufficient levels to properly maintain the fund’s infrastructure and provide significant capital development.

4.4 RATE STRUCTURE AND NET POSITION
The enterprise fund will maintain an adequate rate structure to cover the cost of all operations, including cash flow, capital replacement and maintenance, debt service if applicable, contingency funding, reserve contributions, and depreciation. Rates may be offset from the available unreserved net position only after these requirements are met.

5. Operating Budget

5.1 THE 3CE BUDGET
The Recommended Budget is the central financial planning document for the agency’s goals, objectives, priorities, levels of service, and the associated operating revenue and expenditures. Appropriations are recommended based on the relationship between expected expenditures and revenue. If revenues are estimated to fall below expected amounts, the agency will take all actions available to reestablish a revenue and expenditure relationship that conforms to the operating requirements.

The Recommended Budget shall be presented to the Policy Board for adoption in September of each year and clearly presented to a general audience of the public. The Recommended Budget may be modified as necessary by the Policy Board during the fiscal year.

5.2 BALANCED BUDGET
A budget is balanced when the total estimated financing sources (beginning fund balance plus revenues) equal the total appropriations (expenditures). At no time shall spending in a given year exceed total current estimated revenues plus any net positive position (reserved and non-reserved).

5.3 ONGOING MAINTENANCE AND OPERATIONS NEEDS
3CE will adequately fund ongoing maintenance and operational needs with ongoing annual revenue.

Without prior direction and approval by the Policy Board, the use of one-time revenues or short-term borrowing is not allowed as a resource to finance ongoing operational needs.

5.4 CAPITAL FACILITIES AND EQUIPMENT
3CE shall establish as a primary fiscal responsibility the acquisition, preservation, maintenance, improvement, and, when applicable, orderly replacement of the 3CE’s capital facilities and equipment. 3CE shall endeavor to purchase a permanent headquarters and appropriate regional offices to provide continuity of location and operations while stabilizing and controlling facility costs into the future. 3CE will acquire and maintain high-quality equipment to maximize useful life and ensure efficient operations.

24 Subheader 5.5 APPROPRIATIONS AND TRANSFERS
The agency enterprise fund is not constrained by appropriation controls. The CEO is charged with maintaining the relationship between financing uses and financing sources and shall report to the Policy Board any deviation in excess of the adopted budget. The CEO is authorized to make appropriation transfers between departments and divisions within the enterprise fund as necessary to adequately reflect the expenditure needs of the agency.

5.6 RESPONSIBILITY FOR BUDGET MANAGEMENT AND BUDGETARY CONTROL The agency shall maintain a budgetary control system to help it adhere to the adopted budget. The CEO has budgetary control and authority over appropriations. The CFO shall administer and maintain the system utilized for budgetary control. As the administrator of the budgetary control system, the CFO shall notify the CEO when a department is reaching the departmental appropriation limit. The CFO shall seek guidance from the CEO on all issues relating to appropriations and controls. 3CE Officers in coordination with the CFO have primary responsibility for managing departmental budgets by:
• Providing accurate and timely budget estimates;
• Monitoring revenues to ensure timely receipt in the amounts anticipated; • Ensuring that expenditures comply with the law, adopted resolutions, policies, and align appropriations relative to revenues;
• Providing prompt notification to the CEO when either revenues or expenditures are not as anticipated; and
• Preparing and justifying budget revisions when necessary.

5.7 PREPARATION OF FINANCIAL REPORTS
The CEO annually prepares or causes to be prepared:
• An Annual Comprehensive Financial Report (ACFR) that reports on the 3CE’s financial position and activities adhering to Generally Accepted Accounting Principles (GAAP) or state law requirements, to provide readers with a broader understanding of the agency’s financial operations; • A mid-year estimate to provide current-year performance and forward-looking perspective to advise the Policy Board on future challenges and provide a base for building the following year’s Recommended Budget; and
• Additional reports, as appropriate, to keep the Policy Board informed on current financial performance and developments.

The CEO has oversight and contract management over the external auditors reviewing the ACFR.

External auditors shall report to the CEO or designated officer on audit findings. The CEO will take the audit findings thereafter to the Policy Board.

5.8 PUBLICATION OF BUDGET
The CEO shall publish annually a Recommended Budget document that satisfies nationally recognized standards for effective budget presentation. The Recommended Budget will be provided to the Policy

25 Subheader Board a minimum of two weeks in advance of the annual budget hearings.

5.9 3CE BUDGET DEVELOPMENT
Budget development is an annual process incorporating the Policy Board’s priorities and weighing competing requests for 3CE resources within expected fiscal constraints. The process begins with departments preparing “baseline” budgets proposing levels of service and staffing that can be carried out within expected resources (e.g., revenues). Departments may submit “augmentation requests” for additional resources to mitigate potential impacts, increase staffing/services, or invest in infrastructure.

The CEO evaluates baseline budgets and augmentation requests within the constraints of a balanced budget and builds the annual Recommended Budget. Staff considers the following criteria in formulating recommendations for the annual budget and subsequent mid-year budget modifications:
• Mandated by current law, regulation, or Policy Board policy; • Alignment with the 3CE’s strategic initiatives and priorities; • Necessary to maintain the current level of mission-critical services/operations; • Substantiation of compelling public need (e.g., health, safety, economic vitality, quality of life) that cannot be met within existing resources;
• Likelihood of success based on prior performance, degree of planning/specificity, requested resources, and assumed timeline;
• Leverages sustainable financial support from non-3CE sources; • Appropriate placement of responsibility (federal, state, or local); • Degree of urgency; and
• Critical infrastructure investment to ensure productivity and continuity of operations.

Criteria in the listing are not exhaustive or in any particular order, nor are they mutually exclusive; funding recommendations may align with more than one criterion.

5.10 ESTABLISH 3CE PRIORITIES
The Policy Board has a continuous process of establishing 3CE priorities for ensuing years. The Policy Board implements these priorities in the Recommended Budget. Understanding that elected officials, appointed officials, and agency officers are charged with the actual provision of services to the community, the Policy Board shall set broad priorities to ensure flexibility for the agency to concentrate on these priorities.

5.11 AMENDMENTS TO THE ADOPTED BUDGET
Modifications to the Adopted Budget require the approval of a majority of Policy Board members.

Amendments to the Adopted Budget will be made in compliance with Policy Board policies. As an enterprise fund, the relationship between financing uses and financing sources is the overriding principle; thus, appropriation controls are not required.

5.12 BUDGETARY BASIS
3CE uses the full accrual basis of accounting following GAAP. The budgetary basis is appropriation-based, beginning October 1 and ending the last day of September of each year. 3CE is an enterprise fund that is appropriation-based budgeted; however, accounting is on a full accrual basis.

26 Subheader 5.13 CAPITAL ASSET DEFINITION
The agency defines capital assets as assets with initial, individual costs of $5,000 or more and an estimated useful life greater than one year, except infrastructure, for which the threshold is set at $100,000. Capital assets include both tangible and intangible assets categorized by asset type for reporting purposes.

5.14 APPROPRIATIONS FOR CONTINGENCIES
3CE annually adopts an appropriation for contingencies to provide sufficient working capital and a margin of safety for unplanned operational needs. The contingency appropriation is utilized only after all other budget resources have been examined. The appropriation for operational contingencies shall be equal to five percent (5%) of recommended appropriations, excluding cost of energy (COE), unless expressly modified by the Policy Board as part of the annual budget adoption.

6. Net Position and Reserve Policies

6.1 NET POSITION
Net position is a measurement of available financial resources. It is the difference between total assets and total liabilities. The Policy Board recognizes that maintaining a positive net position is essential to preserving 3CE’s financial integrity. Sufficient net position and reserve levels are a critical component of the 3CE’s overall financial management strategy. They are key factors in the ability to sustain service delivery and obtain external financing. Rating agencies analyze net position when considering 3CE’s overall financial strength and creditworthiness. Adequate reserves enable flexible financial planning in developing rate structures, future capital projects, dealing with unforeseen emergencies, and changes in general economic conditions.

6.2 USE OF UNRESERVED NET POSITION
3CE’s goal is to only use unreserved net position as a source to finance one-time investments, reserves, and/or commitments. As a one-time financing source, any end-of-year positive net position will be used for non-recurring expenditures and only after confirmation of the yearly audit.

6.3 STRATEGIC RESERVE POLICY
A strategic reserve is essential to provide an adequate financial backstop throughout the year. 3CE shall adopt a strategic reserve equal to twenty-five percent (25%) of budgeted appropriations. The strategic reserve will provide sufficient working capital (cash flow), fund settlements of legal judgments against the agency in excess of reserves specifically designated for litigation, for natural disasters as determined by the CEO or Policy Board, and for one-time-only budget overruns that could not be addressed through the annual appropriations for contingencies.

If the strategic reserve is utilized to provide temporary funding for unforeseen needs, 3CE shall take the measures necessary to prevent its use in the following fiscal year by increasing revenues and/or decreasing expenditures to regain balance. 3CE shall also restore the strategic reserve to the minimum level of twenty-five percent (25%) of budgeted appropriations within five fiscal years following the fiscal year in which the event occurred. The plan to restore the strategic reserve shall be included and highlighted in the Recommended Budget.

27 Subheader 6.4 ENERGY RATE STABILIZATION RESERVE
The agency shall maintain an energy rate stabilization reserve equal to twenty (20%) of the budgeted COE. The energy rate stabilization reserve shall be utilized for large fluctuations in the COE and/or required increased power purchasing needs including regulatory compliance. This reserve may be utilized throughout the fiscal year at the direction of the CEO with subsequent reporting to the Energy Risk Management Committee and the Boards.

6.5 RENEWABLE ENERGY INNOVATION AND INITIATIVES RESERVE The agency shall maintain a renewable energy innovation and initiatives reserve equal to five percent (5%) of the budgeted COE. This reserve shall be utilized for investments in furtherance of the Boards’ goals to accelerate the utilization of 100% clean and renewable energy through the commitment to new or emerging, but scalable, technologies that can address the challenges of an intermittent renewable grid and reduce dependency on fossil fuels for electricity generation.

6.6 CAPITAL INFRASTRUCTURE RESERVE
The agency shall establish a capital infrastructure reserve sufficient to provide for the operation, routine scheduled maintenance, reasonably anticipated unplanned repair, and ultimate replacement costs of 3CE’s capital infrastructure, including enterprise software, real estate, and electric generation and storage facilities.

6.7 MEASUREMENT OF RESERVE TARGETS
Due to the nature of the agency’s business, the mechanism to fund the four reserves shall be the use of cash, cash equivalents, and short-term investments. The reserves must be liquid and available to ensure the ability to use the reserves for their intended purpose. Market fluctuations, operational continuity, competitive advantage, and regulatory compliance are risks that are mitigated with robust reserves as the agency transitions to a clean and renewable electric grid.

7. Capital Facilities and Improvement Policies

7.1 CAPITAL INVESTMENTS
3CE is responsible for investing in the preservation, maintenance, and improvement of owned assets, including buildings, equipment, and other capital infrastructure.

Projects in excess of $100,000 that have an estimated useful life of at least five years and are non-recurring are considered capital projects and should be evaluated against other uses and priorities.

All capital expenditures should be included in the Adopted Budget or taken to the Policy Board for approval and amendment to the Adopted Budget.

8. Debt Management
Due to its length and complexity, the Debt Management Policy is reviewed by the Policy Board separately from these policies.

3CE Staff Positions Schedule
28 Office/Department Position Title
FY
2023-24
Adopted
FTE
FY 2024-25
Recommended
FTE
Recommended
Change from
Adopted
Office of the CEO Chief Executive Officer 1 1 -
General Counsel 1 1 -
Deputy General Counsel - 1 1
Clerk of the Board 1 1 -
(To Be Determined) 6 1 (5)
Subtotal 9 5 (4)
Administrative
Services
Director of Human Resources &
Administration 1 1 -
Executive Assistant 1 - (1)
Human Resources Analyst - 1 1
Sr. Administrative Specialist 1 1 -
Administrative Specialist 2 2 -
Manager of Information
Technology 1 1 -
Information Technology Specialist 1 1 -
Subtotal 7 7 -
Total Positions 16 12 (4)
Office of the CFO Chief Financial Officer 1 1 -
Finance Director of Finance 1 1 -
Senior Accountant 1 1 -
Accountant 1 1 -
Senior Billing Operations & Rates
Analyst - 1 1
Billing Operations & Rates Analyst 1 1 -
Energy Risk Manager 1 1 -
(To Be Determined) - 1 1
Total Positions 6 8 2

29 Office/Department Position Title
FY
2023-24
Adopted
FTE
FY 2024-25
Recommended
FTE
Recommended
Change from
Adopted
Office of the COO Chief Operating Officer 1 1 -
Power Supply
Resources
Director of Power Supply Resources 1 1 -
Manager of Energy Trading 1 1 -
Power Resources & Markets Manager 1 1 -
Manager of Energy Contracts & Settlements - 1 1
Energy Contracts & Compliance Manager 1 1 -
Power Supply Analyst 1 1 -
Power Settlement Analyst - 2 2
Power Resource Planner - 2 2
Subtotal (excluding COO) 5 10 5
Regulatory Affairs &
Compliance
Director of Regulatory Affairs & Compliance 1 1 -
Policy Advisor 2 2 -
Subtotal 3 3 -
Data & Analytics Director of Data & Analytics 1 1 -
Data Engineer 1 1 -
Data Analyst 1 1 -
Subtotal 3 3 -
Total Positions 12 17 5
Office of the CCO Chief Communications Officer 1 1 -
Communications &
Outreach
Director of Communications & Outreach 1 1 -
Manager of Communications 1 1 -
Communications Specialist 2 2 -
Manager of Customer Accounts & Services 1 1 -
Sr. Customer Accounts Manager 3 3 -
Customer Accounts Manager 3 3 -
Subtotal (excluding CCO) 11 11 -
Energy Programs Director of Energy Programs 1 1 -
Manager of Energy Programs 1 1 -
Energy Programs Analyst 4 4 -
(To Be Determined) - 1 1
Subtotal 6 7 1
Total Positions 18 19 1
3CE Grand Total 52 56 4

Office Summary
Administrative Services
Director of Human Resources
& Administration
Office of the CEO
General Counsel
Board Clerk
The Office of the Chief Executive Officer
provides leadership and directs the
implementation of 3CE’s business functions,
programs, and initiatives in accordance
with the Policy Board’s strategic vision and
policies. An integral part of this work involves
communication and collaboration with
customers and stakeholders, the cultivation
of strong relationships with 3CE’s Member
Agencies, and the facilitation of programs
that advance the Boards’ goals.

FY 2024-25 Budget Summary - Office of the CEO
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Salaries and Employee Benefits 12,386,029 1,964,008 1,837,179 3,057,255 2,919,269 955,261 Services and Supplies 2,204,659 2,714,809 2,047,866 2,763,708 2,733,708 18,899 Total Financing Uses 14,590,688 4,678,817 3,885,045 5,820,963 5,652,977 974,160 Total Budgeted Change to
Net Position (14,590,688) (4,678,817) (3,885,045) (5,820,963) (5,652,977) (974,160)

The Chief Executive Officer works to accelerate the adoption of renewable energy resources, overseeing the negotiation of Power Purchase Agreements (PPAs) and ensuring 3CE’s plans align with its commitment to environmental stewardship. At its heart, the focus of the executive office is to lead 3CE in a way that serves its customers, empowers its staff, and respects the planet.

The Recommended Budget for the CEO totals $1,234,896, with $1,105,896 in Salaries and Benefits and $129,000 in Services and Supplies. Appropriations are $1.6 million lower than the prior year’s budget since the General Counsel was previously housed within the CEO’s departmental budget.

Office of the CEO: Chief Executive Officer

ACCOMPLISHMENTS
• Led the organization to significant financial achievements, including securing $32.9 million in savings through the first PPA Prepay deal and diversifying investments to improve financial operations. Guided the development of a single-territory rate that fairly establishes customer rates based on the cost to serve them.
• Oversaw the successful implementation of key operational improvements, such as the leadership development
program, and establishment of the Wellness Committee.
• Guided the organization through important energy
initiatives, including the implementation of the Project Selection Criteria, deploying a Resource Adequacy
procurement strategy, including deploying the hybrid
battery options, and establishing an independent energy risk management function.
• Championed the development of advanced data analytics capabilities, including deploying the Data Analytics Hub and the Energy Deals Capture Portal, enhancing decision-making across the organization. • Spearheaded the development of 3CE’s Residential Battery Rebate Program, charger asset initiative and community
engagement efforts, including the Customer Insights survey and the development of a comprehensive Outreach &
Engagement Plan for new service area enrollments.

FY 2024-25 FOCUS AREAS
• Drive the implementation of a
comprehensive Enterprise Resource
Planning system to streamline budgeting,
financials, and payroll processes across the
organization.
• Lead the establishment of a regular
cadence for soliciting long-term contracts
for clean and renewable energy projects,
positioning the organization as a “first
mover” in the industry.
• Successfully enroll and support the City
of Atascadero and unincorporated San
Luis Obispo County through effective
communication and community
engagement.
• Guide the organization in navigating
upcoming regulatory changes, particularly
in Resource Adequacy reforms and the new
Reliable Clean Power Procurement Program.
• Spearhead initiatives to increase customer
participation in energy programs, with
a focus on improving accessibility and
relevance for disadvantaged and hard-to-reach customers.

FY 2024-25 Budget Summary - Chief Executive Officer
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Salaries and Benefits 6,193,176 922,506 855,535 1,105,896 1,105,896 183,390 Services and Supplies 1,653,070 1,897,521 1,300,507 129,000 129,000 (1,768,521) Total Financing Uses 7,846,246 2,820,027 2,156,042 1,234,896 1,234,896 (1,585,131) Total Budgeted Change to
Net Position (7,846,246) (2,820,027) (2,156,042) (1,234,896) (1,234,896) 1,585,131

Office Summary (continued)
Office of the CEO: General Counsel
The General Counsel Department is responsible for overseeing 3CE’s legal needs, including regulatory issues, contract negotiations, and dispute resolution. The General Counsel also oversees and coordinates contracted special counsel for specific legal engagements, such as power purchase negotiations, regulatory compliance, and litigation.

The Recommended Budget for the General Counsel totals $1,657,504, with $611,504 in Salaries and Benefits and $1,046,000 in Services and Supplies. Appropriations for the General Counsel were previously housed within the CEO’s departmental budget. The department is managed by the General Counsel and has a total of two staff.

ACCOMPLISHMENTS
• Advised and assisted in drafting new contracts
and contract amendments impacting all Offices.
• Advised the Boards on closed session and
public agenda items.
• Developed template agreements and advised
the Regulatory Affairs and Compliance team on
advocacy and comments in CPUC proceedings.
• Managed pending litigation, in coordination with
outside counsel.

FY 2024-25 FOCUS AREAS
• Support the agency’s ongoing legal needs,
deliver timely and accurate professional
services, and provide appropriate
recommendations to staff and the Boards.
• Continue to respond to legal requests to assist
staff and Boards in achieving their goals and
objectives successfully.
• Manage pending litigation, assist in the creation
of agency policies, and advise on contracts and
regulatory developments impacting the agency.
• Provide all services with competence and
integrity.

FY 2024-25 Budget Summary - General Counsel
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Salaries and Benefits - - - 611,504 611,504 611,504
Services and Supplies - - - 1,046,000 1,046,000 1,046,000 Total Financing Uses - - - 1,657,504 1,657,504 1,657,504 Total Budgeted Change to
Net Position - - - (1,657,504) (1,657,504) (1,657,504)

Office of the CEO: Administrative Services
The Administrative Services Department serves 3CE’s mission and customers by developing, retaining, and enabling a diverse, productive workforce with administrative and technological expertise. It includes human resources (HR), administrative support, enterprise risk management, and information technology (IT).

The Recommended Budget for the Administrative Services Department totals $2,760,577, with $1,201,869 in Salaries and Benefits and $1,558,708 in Services and Supplies. The increase in personnel costs is due to filling previously vacant positions and funding for the Future Leadership Development Program. Increases in Services and Supplies primarily result from agencywide staff trainings, building maintenance previously budgeted under the Finance Department, and funding for a potential Climate Fellowship program. The department is managed by the Director of Human Resources & Administration and has a total of seven staff.

ACCOMPLISHMENTS
• Implemented a future leadership development
program that includes individual development
plans identifying activities to continue building
leadership competencies.
• Successfully established the Wellness
Committee that recommends year-round
wellness initiatives for 3CE staff.
• Implemented training and technological
solutions to automate and improve HR and IT
business processes.
• Completed a security assessment on 3CE’s IT
systems and network.

FY 2024-25 FOCUS AREAS
• Customize the HR cloud-based platform to
include mandatory and ongoing training to
streamline processes and ensure Federal and
State compliance.
• Implement recommended improvements to the
agency’s cybersecurity posture.
• Continued development of a robust training
program for supervisors and managers.

FY 2024-25 Budget Summary - Administrative Services
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Salaries and Benefits 6,192,853 1,041,502 981,644 1,339,855 1,201,869 160,367 Services and Supplies 551,589 817,288 747,359 1,588,708 1,558,708 741,420 Total Financing Uses 6,744,442 1,858,790 1,729,003 2,928,563 2,760,577 901,787 Total Budgeted Change to
Net Position (6,744,442) (1,858,790) (1,729,003) (2,928,563) (2,760,577) (901,787)

34 Office Summary (continued)
Office of the CFO
Director of Finance
FY 2024-25 Budget Summary - Office of the CFO
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Interest and Investment Returns 8,184,122 6,400,000 9,952,050 7,000,000 7,000,000 600,000 Other Income 2,200,969 - - - - -
Rental Income - - 42,996 68,400 68,400 68,400
Sub-Total Revenues 10,385,091 6,400,000 9,995,046 7,068,400 7,068,400 668,400 Capital Infrastructure Reserve - - - 17,318,000 17,318,000 17,318,000 Total Financing Sources 10,385,091 6,400,000 9,995,046 24,386,400 24,386,400 17,986,400 Salaries and Benefits 1,242 1,504,193 1,507,963 2,121,202 1,975,955 471,762 Services and Supplies 945,118 3,902,488 3,985,158 11,750,923 11,748,923 7,846,435 Capital Assets 418,568 - 332,166 17,318,000 17,318,000 17,318,000 Total Financing Uses 1,364,928 5,406,681 5,825,287 31,190,125 31,042,878 25,636,197 Total Budgeted Change to Net
Position 9,020,163 993,319 4,169,759 (6,803,725) (6,656,478) (7,649,797) The Office of the Chief Financial Officer
(CFO) performs critical Finance and
Energy Risk functions. The CFO oversees
all aspects of financial planning and
budgeting, financial reporting and
analysis, energy risk management,
treasury and revenue management,
internal controls and compliance, cost
management, financial strategy, and
decision support for the Chief Executive
Officer. The Office also staffs the Audit
and Finance Committee and is appointed
to the Energy Risk Committee. Energy
Risk Manager

The Recommended Budget for the Office of the CFO totals $31,042,878, with $1,975,955 in Salaries and Benefits, $11,748,923 in Services and Supplies, and $17,318,000 in Capital Assets. The increase in personnel costs is largely due to the addition of one new position to provide analytical support in energy risk management and the reallocation of a rates and billing position that was previously budgeted under the Office of the CEO. The increases in Services and Supplies will reflect the reallocation of outsourced customer billing data management and IOU services fees from the Data & Analytics Department. The $17.3 million in Capital Assets is comprised of capital expenditures funded by the Capital Infrastructure Reserve to purchase two office buildings in Monterey and Santa Cruz, fleet vehicle purchases, and implementation costs for agency software.

The Recommended Budget includes $7,068,400 in estimated revenue from interest income on self-managed investments and rental income from the San Luis Obispo office building.

The increase in estimated revenue is modest due to projections that interest rates may decrease throughout the fiscal year. The Office has a total of eight staff.

ACCOMPLISHMENTS
• Issued 3CE’s first Power Purchase Agreement
(PPA) Prepay deal, securng $32.9 million in
savings over seven years.
• Developed the 2025 rate structure methodology,
which utilizes a single rate structure across 3CE’s
service area (regardless of IOU) that ensures
revenues are sufficient to recover costs to serve
our customers.
• Transitioned investments to self-directed
brokerage accounts and diversified banking
institutions to improve financial operations and
management.
• Created and filled the Energy Risk Manager
position, improving agency management of
market risks.
• Implemented active counterparty collateral
monitoring and management.

FY 2024-25 FOCUS AREAS
• Present the agency’s financial position to inform
S&P’s review of 3CE’s “A” Credit Rating.
• Implement a comprehensive Enterprise
Resource Planning system for budgeting,
financials, and payroll.
• Design and implement an annual ratemaking
process to ensure operational costs and
reserves are covered by revenues.
• Develop a revised collections policy to reduce
debt write-offs.
• Create a comprehensive billing process to
support 3CE’s participation in the Hourly Flex
Pricing Pilot.
• Continue to enhance the Energy Deals
Capture Portal to manage market, credit, and
operational risks.

Director of Data
Analytics
Data Analyst
The Office of the Chief Operating
Officer leads three departments: Power
Supply Resources, Regulatory Affairs &
Compliance, and Data & Analytics. The
Office focuses on ensuring compliance
with industry regulations and
operationalizing 3CE’s adopted goal of
serving 100% of retail sales with clean
and renewable electricity.

The Chief Operating Officer is tasked
with securing affordable clean
and renewable electricity for 3CE
customers, navigating and working
to shape the regulatory environment
in which 3CE operates, ensuring
compliance with regulations, and
managing and analyzing the large
amount of data associated with serving
our customers.

Office Summary (continued)
Office of the COO
s
FY 2024-25 Budget Summary - Office of the COO
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Electricity Sales 450,713,404 556,433,447 551,405,974 745,962,356 745,962,356 189,528,908 Total Financing Sources 450,713,404 556,433,447 551,405,974 745,962,356 745,962,356 189,528,908 Cost of Energy 398,746,769 520,297,514 538,515,199 665,267,116 665,267,116 144,969,602 Salaries and Benefits 3,511 2,831,689 2,472,341 4,267,691 4,049,858 1,218,169 Services and Supplies 7,772,205 9,112,507 8,708,263 3,351,114 3,327,114 (5,785,393) Total Financing Uses 406,522,485 532,241,710 549,695,803 672,885,921 672,644,088 140,402,378 Total Budgeted Change to
Net Position 44,190,919 24,191,738 1,710,171 73,076,435 73,318,268 49,126,530 Director of Regulatory
Affairs & Compliance
Director of Power
Supply Resources
Director of Data
Analytics

38 Office Summary (continued)
The Power Supply Resources Department secures competitively priced, reliable, clean and renewable electricity for 3CE customers through short-term and long-term contracting with the aim of increasing cost certainty and meeting all regulatory procurement obligations.

Power Supply Resources staff operate within a dynamic and often volatile energy market. Energy prices are prone to unpredictable and significant changes. In addition, regulatory and legislative changes can result in structural alterations to energy markets, price levels, and procurement requirements. 3CE adheres to its Energy Risk Management Policy to mitigate these risks and create rate stability while aggressively working to attain clean and renewable generation resources.

Office of the COO: Power Supply Resources
The Recommended Budget for the Power Supply Resources Department totals $670,025,246, including $665,267,116 in Cost of Energy, $2,838,121 in Salaries and Benefits, and $1,920,009 in Services and Supplies. Cost of Energy is estimated to be $144,969,602 higher than last year, primarily driven by increased requirements for Renewable Energy Certificates (RECs) and Resource Adequacy (RA) as well as energy required to meet the added load from the enrollment of our two new member communities in 2025. The $1.2 million increase in Salaries and Benefits is primarily due to the addition of five new positions in Power Supply Resources to assist with power settlement and resource planning duties. The $0.5 million increase in Services and Supplies compared to the prior year is from further involvement with California Community Power (CC Power), as 3CE works with other CCAs to procure new, cost-effective clean energy and reliability resources.

FY 2024-25 Budget Summary - Power Supply Resources
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Electricity Sales 450,713,404 556,433,447 551,405,974 745,962,356 745,962,356 189,528,908 Total Financing Sources 450,713,404 556,433,447 551,405,974 745,962,356 745,962,356 189,528,908 Cost of Energy 398,746,769 520,297,514 538,515,199 665,267,116 665,267,116 144,969,602 Salaries and Benefits 3,040 1,649,598 1,512,953 3,055,954 2,838,121 1,188,523 Services and Supplies 2,187,017 1,397,478 1,140,979 1,944,009 1,920,009 522,531 Total Financing Uses 400,936,826 523,344,590 541,169,131 670,267,079 670,025,246 146,680,656 Total Budgeted Change to
Net Position 49,776,578 33,088,858 10,236,843 75,695,277 75,937,110 42,848,252

ACCOMPLISHMENTS
• Implemented the Project Selection Criteria adopted by the Policy Board in June 2023 in 3CE’s 2024 Clean and
Reliable Energy Request for Proposals (RFP), conducting qualitative assessments of projects to ensure best fit for 3CE’s project portfolio and community values.
• Amended four Power Purchase Agreements (PPAs) to
ensure the continued development of projects important to achieving agency procurement goals.
• In alignment with Board strategy, secured necessary short-term Resource Adequacy (RA) contracts for the coming year, and long-term RA contracts to provide greater cost certainty and rate stability.
• Established partnerships with new outside scheduling
coordinator and Battery Energy Storage System (BESS)
optimization vendors, bringing extensive CAISO market
experience and cost benefits to 3CE operations and
customers.

FY 2024-25 FOCUS AREAS
• Establish a regular cadence for the solicitation
of long-term contracts for clean and renewable
energy projects to gain “first mover” investment
advantage.
• Collaborate with industry partners and regulators
on upcoming reforms to RA, including the new
Slice of Day paradigm.
• Partner with contracted developers to ensure the
viability of new projects in an interconnection and
supply-chain-challenged environment.

The Recommend Budget also includes $745,962,356 in estimated revenues from the net sale of energy. The $189.5 million increase results from a recommended adjustment to generation rates across all customer classes to meet 3CE’s expenditures and continue to build reserves.

The Power Supply Resources Department is managed by the Director of Power Supply Resources and has a total of 10 staff.
39 Page 114 of 161
The Regulatory Affairs and Compliance Department engages regulatory bodies with jurisdiction over 3CE and the markets in which it operates and ensures compliance with all regulatory obligations. The department contributes to statewide planning, reliability, and renewable goals through Integrated Resource Planning, Mid-Term Reliability, Resource Adequacy, Renewable Portfolio Standards, and the Supplier Diversity Program.

Regulatory Affairs and Compliance staff actively participate in rule-making proceedings before the California Public Utilities Commission (CPUC) concerning rates, affordability, and payment assistance programs.

The Recommended Budget for Regulatory Affairs & Compliance totals $1,602,316, with $588,211 in Salaries and Benefits and $1,014,105 in Services and Supplies. The increase in appropriations is driven by growth in the number and complexity of regulatory proceedings affecting the agency. The Department is managed by the Director of Regulatory Affairs & Compliance and has a total of three staff.

Office of the COO: Regulatory Affairs & Compliance

ACCOMPLISHMENTS
• Successfully advocated for the integration of CCAs
into CPUC-approved programs, including the
Bioenergy Market Adjusting Tariff (BioMAT) program.
• Submitted over 60 filings to key regulatory bodies,
receiving commendation from the CPUC staff for the
Annual Supplier Diversity Report, which highlights
3CE’s investments in small, local, and disadvantaged
businesses.

FY 2024-25 FOCUS AREAS
• Continue to engage in regulatory policy discussions
to expedite the integration of new resources and
optimize load-shifting strategies in alignment with
3CE’s goal of supplying 100% clean and renewable
energy to meet retail sales.
• Complete and submit the 2025 Integrated Resource
Plan and narrative.
• Monitor and implement the CPUC’s new Reliable
Clean Power Procurement Program.

Office Summary (continued)
FY 2024-25 Budget Summary - Regulatory Affairs & Compliance Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Salaries and Benefits 136 571,161 424,656 588,211 588,211 17,050 Services and Supplies 594,570 786,805 667,442 1,014,105 1,014,105 227,300 Total Financing Uses 594,706 1,357,966 1,092,098 1,602,316 1,602,316 244,350 Total Budgeted Change to
Net Position (594,706) (1,357,966) (1,092,098) (1,602,316) (1,602,316) (244,350)

The Data & Analytics Department oversees 3CE’s extensive customer usage and transaction data for more than 515,000 projected accounts, providing strategic analysis to inform business decisions. The department’s primary objective is to empower the organization with information and insights, and to create a consolidated data environment affording increased visibility into agency operations.

The Recommended Budget for the Data & Analytics Department totals $1,016,526, with $623,526 in Salaries and Benefits and $393,000 in Services and Supplies. This represents a budget decrease compared to the prior year due to the reallocation of customer billing data management and IOU services fees to the Finance Department. The Data & Analytics Department is managed by the Director of Data & Analytics and has a total of three staff.

Office of the COO: Data & Analytics

ACCOMPLISHMENTS
• Deployed the Data Analytics Hub, which is built
from 3CE’s internal Data Warehouse and includes
dashboards and reporting tools supporting multiple
agency departments.
• Completed the Energy Deals Capture Portal to
improve the visibility of Power Purchase Agreements
and their energy contributions.
• Integrated diverse data sources, including energy
price forward data and Salesforce customer
relationship management data to further enrich
analytics.
• Launched Customer Insights and Power Supply
dashboards to enhance customer relationships and
provide a clear view of energy use patterns.

FY 2024-25 FOCUS AREAS
• Automate the population of PPA data into
the Energy Deals Capture Portal.
• Develop a robust system of record to ensure
consistency in Key Performance Indicator
(KPI) and metrics tracking.
• Incorporate Customer Relationship
Management (CRM) data into the 3CE
Data Warehouse to enhance insights
across departments and support increased
participation in 3CE programs.

FY 2024-25 Budget Summary - Data & Analytics
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Salaries and Benefits 335 610,930 534,732 623,526 623,526 12,596 Services and Supplies 4,990,618 6,928,224 6,899,842 393,000 393,000 (6,535,224) Total Financing Uses 4,990,953 7,539,154 7,434,574 1,016,526 1,016,526 (6,522,628) Total Budgeted Change to
Net Position (4,990,953) (7,539,154) (7,434,574) (1,016,526) (1,016,526) 6,522,628

42 Office Summary (continued)
The Office of the Chief Communications
Officer (CCO) is responsible for establishing
and maintaining meaningful relationships
between 3CE and its member communities.

The departments of Communications &
Outreach and Energy Programs fall within
this office, which is responsible for customer
communications, community relations,
legislative affairs, and the development
and implementation of energy programs
to result in impactful investment into 3CE’s
communities.

The Communications & Outreach and Energy
Programs departments collaborate to
promote a wide range of energy programs
tailored to the needs of residents, businesses,
and local governments. The Office of the
Chief Communications Officer aims to foster
trust and understanding by demonstrating
the value of 3CE programs in promoting
affordability, environmental stewardship, and
public participation.

Office of the CCO
FY 2024-25 Budget Summary - Office of the CCO
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Miscellaneous Income 155,868 - 44,132 - - -
Total Financing Sources 155,868 - 44,132 - - -
Salaries and Benefits 2,663 3,237,186 2,971,580 3,640,759 3,640,759 403,573 Services and Supplies 10,803,776 17,269,054 11,975,553 17,384,054 17,368,054 99,000 Total Financing Uses 10,806,439 20,506,240 14,947,133 21,024,813 21,008,813 502,573 Total Budgeted Change
to Net Position (10,650,571) (20,506,240) (14,903,001) (21,024,813) (21,008,813) (502,573) Director of Energy Programs
s
Director of
Communications
& Outreach

44 ACCOMPLISHMENTS
• Led a robust community engagement effort to
inform the next phase of outreach to underserved
communities and developed an improved,
prioritized workplan.
• Conducted a Customer Insights survey
throughout 3CE’s service area to gain a better
understanding of the values and priorities of
customers.
• Developed a comprehensive Outreach &
Engagement Plan for the enrollment of the
City of Atascadero and the County of San Luis
Obispo.
• Gathered community input and facilitated its
integration into the development of 3CE’s Net
Billing Tariff, Battery Incentive Program, and
annual ratemaking process.

FY 2024-25 FOCUS AREAS
• Facilitate the successful enrollment of customers in the City of Atascadero and the unincorporated regions of San Luis Obispo County through best-in-class communications and community engagement.
• Further the full implementation of the Underserved
Communities Outreach and Engagement Plan by
completing all items contained in the supplemental FY
2024-25 Action Plan approved by the Policy Board in
June 2024.
• Innovate and develop compelling and simplified
messaging that speaks plainly to customers in all
communications collateral. Strive for communications that are culturally and linguistically appropriate.
• Develop partnerships with Community Based
Organizations (CBOs) to amplify the reach and improve
the efficacy of outreach and communications efforts.

Office of the CCO: Communications & Outreach
Office Summary (continued)
The Communications & Outreach Department acts as a customer advocate by building relationships and engaging in community outreach to help inform the public’s energy-related decisions and reduce regional emissions. Through print, broadcast, and digital media, participation in events, and partnerships with community-based organizations (CBOs), the department works to promote access and awareness among all customers and to encourage choices that contribute to regional sustainability.

Over the past year, the Communications & Outreach Department extended its reach across the diverse communities served by 3CE. This reflects the agency’s commitment to fostering understanding of the benefits of clean energy and to engaging with communities by providing excellent service and communicating 3CE’s mission, progress, and value.

The Recommended Budget for the Communication & Outreach Department totals $4,140,897, with $2,363,206 in Salaries and Benefits and $1,777,691 in Services and Supplies. Appropriations increased compared to the prior year due to filling personnel vacancies. The Recommended Budget also includes additional funding for enrollment outreach efforts and more engagement with local and state associations. The Department is managed by the Director of Communications & Outreach and has a total of 11 staff.

FY 2024-25 Budget Summary - Communications & Outreach
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Salaries and Benefits 2,017 2,017,719 2,035,013 2,363,206 2,363,206 345,487 Services and Supplies 1,296,390 1,678,691 1,523,258 1,793,691 1,777,691 99,000 Total Financing Uses 1,298,407 3,696,410 3,558,271 4,156,897 4,140,897 444,487 Total Budgeted Change to Net
Position (1,298,407) (3,696,410) (3,558,271) (4,156,897) (4,140,897) (444,487)

Office of the CCO: Energy Programs

ACCOMPLISHMENTS
• Increased customer participation in 3CE energy
programs.
• Launched behind-the-meter Residential Battery
Rebate Program
• Initiated the planning phase for the Vehicle
Charger Asset Ownership pilot program.
• Launched a new customer relationship
management system, avoiding a program
shutdown during the transition to a new fiscal
year.

FY 2024-25 FOCUS AREAS
• Further customer participation and emission
reduction impacts of existing energy programs.
• Complete the construction phase of the 3CE Electric
Vehicle Charger Asset Pilot.
• Explore non-residential Demand-Response Pilot with
battery storage and grid support capabilities.
• Examine program barriers and relevancy for
disadvantaged and hard-to-reach customers. Identify
and implement program design improvements to
further promote adoption in these areas.

The Energy Programs Department promotes regional climate action through effective and broadly accessible energy programs, which focus on electrifying transportation, buildings, agriculture, and on demand-side management. 3CE’s energy programs provide incentives and technical assistance to customers to empower them to take action to reduce greenhouse gas emissions by switching from-fossil-fuel burning vehicles, equipment, and appliances to clean, all-electric versions.

The Recommended Budget for the Energy Programs Department totals $16,867,916, with $1,277,553 in Salaries and Benefits and $15,590,363 in Services and Supplies, including incentive budgets and program implementation and administration support services. The department is managed by the Director of Energy Programs and has a total of seven staff.

FY 2024-25 Budget Summary - Energy Programs
Prior Year
Actuals
2022-23
Adopted
Budget
2023-24
Mid-Year
Estimate
2023-24
Requested
Budget
2024-25
Recommended
Budget
2024-25
Recommended
Change from
Adopted
Miscellaneous Income 155,868 - 44,132 - - -
Total Financing Sources 155,868 - 44,132 - - -
Salaries and Benefits 646 1,219,467 936,567 1,277,553 1,277,553 58,086 Services and Supplies 9,507,386 15,590,363 10,452,295 15,590,363 15,590,363 - Total Financing Uses 9,508,032 16,809,830 11,432,994 16,867,916 16,867,916 58,086 Total Budgeted Change to Net
Position (9,352,164) (16,809,830) (11,388,862) (16,867,916) (16,867,916) (58,086)

Energy Programs 2024-25 Overview

TRANSPORTATION ELECTRIFICATION
The Electrify Your Ride Program provides
residential and commercial customers with a
“one-stop-shop” for transportation electrification
rebates to purchase Electric Vehicles (EVs) and
install EV infrastructure, and offers technical
support to multifamily and commercial property
owners in planning and building EV infrastructure
at their project sites.
2024-25 INCENTIVE BUDGET: $4.1 MILLION –
over 2,000 distinct applications
The Electric Bus Program provides customers with
incentives for the purchase or lease of all-electric
school buses, agricultural worker transport, and
public transit buses.
2024-25 INCENTIVE BUDGET: $1.4 MILLION –
over 10 e-buses
The Plan Your Fleet Program provides 3CE
Member Agencies technical assistance to
accelerate fleet electrification through support
services including fleet replacement planning,
project design and engineering, EV charging
recommendations, and funding plans.
2024-25 BUDGET: $650,000 – 10 Member Agencies
The Electrify Your Fleet Program provides 3CE
Member Agencies with incentives for the purchase
or lease of light, medium, and heavy-duty Electric
Vehicles.
2024-25 INCENTIVE BUDGET: $1.1 MILLION
The Charge Your Fleet Program provides 3CE
Member Agencies with incentives for the purchase
and installation of Level 3 DC Fast Chargers.
2024-25 INCENTIVE BUDGET: $1 MILLION
The Grant Programs provided Member Agencies
and both residential and commercial customers
with grants for planning, implementation, and
innovation projects in electrification and energy.

Grant funding included the California Electric
Vehicle Infrastructure Project (CALeVIP), which was
implemented by the Center for Sustainable Energy
to incentivize the purchase and installation of EV
charging equipment for 3CE customers in the
South Central Coast and Central Coast cycles of
CALeVIP. The grant programs were discontinued,
and the budget is allocated to fund prior-year
recipients with ongoing projects.
2024-25 INCENTIVE BUDGET: $735,000
3CE is dedicated to investing in communities served through a portfolio of energy programs.

The incentives offered through these programs support all 3CE customers to transition their homes, workplaces, and transportation from fossil-fuel power to clean-energy solutions. $16.8MM
Invested in our Communities
Transportation
Electrification
$9MM
Building
Electrification
$1.9MM
Agricultural
Electrification
$800K
Demand-Side
Management
$2MM
3CE
Pilots
$1MM

BUILDING ELECTRIFICATION
The Electrify Your Home Program, in
partnership with TECH Clean California,
provides incentives to local contractors for the
replacement of gas appliances with electric
heat-pump appliances for residential and
multifamily 3CE customers.
2024-25 INCENTIVE BUDGET: $720,000 –
Over 400 distinct applications
The New Construction Electrification
Program provides residential, multifamily,
and agricultural housing developers with
incentives to build all-electric housing.
2024-25 INCENTIVE BUDGET: $1 MILLION
The Reach Code Program provides technical
assistance and stakeholder engagement
support to help cities and counties adopt
and implement building and transportation
electrification codes more advanced than
those required by the state.
2024-25 BUDGET: $150,000

AGRICULTURE ELECTRIFICATION
The Ag Electrification Program provides
rebates for the purchase of all-electric
equipment to commercial businesses that that
are in, or that directly support, the agricultural
industry in 3CE territory. The program also
provides technical assistance for customers
interested in building EV infrastructure at their
agricultural sites.
2024-25 INCENTIVE BUDGET: $800,000 –
over 20 applications
3CE PILOTS
The EV Charger Asset Pilot will deploy a phased
ownership program that enables 3CE-owned
Level 2 and DC Fast Charger operations across
3CE community resilience hubs, corridor charging,
and Member Agency sites. The scope and goals
will be refined as 3CE further develops the pilot.
2024-25 BUDGET: $700,000
The Hourly Flex Pricing Pilot will, in partnership
with Polaris, incentivize pumping automation
and transactive pricing system services to 3CE’s
customers in the agricultural sector. The scope
and goals will be refined as 3CE further develops
the pilot.
2024-25 BUDGET: $100,000
The Demand Response Pilot will reduce energy
usage during periods of high grid stress and
improve grid stability by rewarding 3CE customers
for modifying their energy consumption. The
pilot will include incentivizing battery storage
at a commercial scale with a distributed Energy
Resource Management System (DERMS) for
optimized operation.
2024-25 BUDGET: $200,000

DEMAND SIDE MANAGEMENT
Launched in July 2024, the Residential Battery
Rebate Program provides incentives to 3CE
customers for the purchase and installation of
residential, behind-the-meter battery systems.
2024-25 INCENTIVE BUDGET: $2 MILLION – over
400 distinct applications
Scan the QR Code to learn more! 3Cenergy.org/rebates-incentives Interested in exploring the incentives available to 3CE customers? NEW FOR FY 2024-25

Year-at-a-Glance 2023-24

REGULATORY
& LEGISLATIVE

ENERGY PROGRAMS TEAM

FINANCE
Two major regulatory filings
The Annual Supplier
Diversity Report
receives top marks.

Per the CPUC, “If
we did rankings
on community
outreach, 3CE
would be number
one”
The Load Management Standards Compliance
Plan identifies pathways to meeting the California
Energy Commission’s Load Management
Standards, developed to support demand
flexibility and contribute to the state’s climate
policy goals
30+ Active proceedings
Regulatory staff monitored and participated in
more than 30 active proceedings spanning three
regulatory bodies, including proceedings related
to utility ratemaking, resource adequacy, and
greenhouse gas reduction planning
First Battery Rebate Program
The Residential Battery Rebate Program provides
incentives for the purchase and installation of
home batteries, helping customers manage energy
consumption and lower costs
More all-electric, affordable housing
projects for healthier living
Tabasa Gardens, a 53-unit affordable housing
development in Watsonville, will utilize all-electric
appliances for healthier indoor air, thanks to 3CE’s
rebates and partnership with Eden Housing
In Buellton, 50 clean-air affordable housing
units with all-electric appliances will house low-income senior citizens, senior veterans, thanks in part to 3CE rebates and the Cabrillo Economic
Development Corporation
$10MM in returns
after bringing investment management in-house
$33MM in savings
over seven years by issuing first PPA Prepay deal
OD

SUPPLIER

DIVERSITY
REPORT
2023 Annual Report | 2024 Annual Plan

COMMUNICATIONS

OUTREACH

OPERATIONS

EMISSIONS

POWER SUPPLY

RESOURCES
Earned media, storytelling build trust,
bolster advertising campaigns
The Residential Battery Rebate Program launch
reached its maximum potential by combining
media coverage with paid advertising.

Video collaborations with customers and
stakeholders produce documentary-style
advertisements that build trust, raise awareness,
and promote energy programs
16 Farmworker outreach events
Working with local, Spanish-language radio
stations and farm managers enables staff to meet
an important community of customers where they
are
Expanding our reach and footprint
Purchased office space in San Luis Obispo
Moved from 36% vacancy rate to fully
staffed
410,000 metric tons of CO2 emission
reduction from PPAs
Equivalent to greenhouse gas emissions
from 97,581 gasoline-powered vehicles
driven for a year
Powerful progress
California’s grid was powered by renewablesfor
at least several minutes a day for 100 days –
affirming that agencies like 3CE are making our
grid cleaner and more reliable

Energy Market Outlook and Power Purchase Agreements
A Power Purchase Agreement (PPA) is a contract between two parties, typically a renewable energy developer (such as a solar or wind farm) and an electricity consumer (such as a load-serving entity like 3CE). In a PPA, the developer agrees to generate and deliver a certain amount of renewable energy to 3CE over a specified period, while the agency commits to purchasing that energy at an agreed-upon price. 3CE enters PPAs for several reasons, including commitment to renewable energy goals, risk mitigation, hedging against energy price volatility, promotion of renewable energy market growth, regulatory compliance, and promoting local economic development. 3CE continues to work collaboratively with developers to bring new clean-energy resources onto the CAISO grid to serve our customers. Challenges with long interconnection completion times and supply-chain delays continue to plague the California grid and delay our ability to bring these projects online. 3CE continues to work with its contracted developers as well as with CAISO staff, regulators, and lawmakers to ensure these challenges are addressed in a timely manner to ensure meaningful progress toward California’s clean energy goals.

The graph at left depicts, as a percentage
of total retail sales (MWh), how much of
3CE’s load is served by long-term renewable
contracts with fixed prices. As new resources
are brought onto the grid on 3CE’s behalf,
a larger percentage of our load is served by
these renewable sources.

Fixed-price contracts as a percentage of total
cost exhibit how much of 3CE’s cost of energy
is made up of fixed-price contracted costs.

As more of 3CE’s load is served by long-term
renewable contracts, its cost of energy will
be less exposed to variable costs and market
volatility. This creates price certainty for
3CE’s customers and allows for the continued
provision of clean and renewable energy to
these customers for the foreseeable future.

Fixed-Price Contracts vs. Retail Sales (MWh)
Fixed-Price Contracts vs. Variable Costs (as a % of $)

PPA Technology Renewable
MW
Storage
MW
MWh % of
Load
Online Date
(Actual or
Expected)
Term in
Years
Coso Geothermal Geothermal 66.3 570,000 10% 1/1/2022 15 Slate PV + BESS 67.5 33.8 187,000 3% 3/3/2022 17
Mammoth Casa Diablo IV Geothermal 7.0 57,000 1% 7/14/2022 10 Mountain View Wind Wind 33.3 128,500 2% 7/26/2022 20
Rabbitbrush Solar + Storage 60.0 12 178,000 3% 10/18/2022 15 Yellow Pine Solar + Storage 75.0 39 240,000 4% 7/26/2023 20 Victory Pass Solar + Storage 100.0 25 301,000 5% 3/29/2024 15 RPCA Storage 1 Standalone Storage 10 N/A N/A 3/31/2025 20 Aratina Solar + Storage 120.0 75 394,000 7% 6/1/2025 20 San Luis West Solar + Storage 62.5 15.6 157,300 3% 12/31/2025 20 Atlas Solar Only 150.0 457,000 8% 12/31/2025 10
Ormat Portfolio (CC Power) Geothermal 22.4 187,000 3% 3/1/2026 20 OME Fish Lake (CC Power) Geothermal 2.4 20,000 0% 3/1/2026 20 SunZia Wind 205 647,000 12% 9/30/2026 15
Angela Solar + Storage 20 10 56,000 1% 11/1/2026 15
Jasmine Solar + Storage 70 64.4 206,000 4% 11/11/2026 10 Bodega Energy Storage Standalone Storage 10 N/A N/A 6/1/2027 20 Gabriel Storage Standalone Storage 125 N/A N/A 6/1/2027 15 Green Valley Energy Storage Standalone Storage 16 N/A N/A 6/1/2027 20 Rava Mesa Energy Storage Standalone Storage 6 N/A N/A 6/1/2027 20 Willow Rock Standalone Storage 200 N/A N/A 6/1/2027 25
TOTAL 1,061 642 3,785,800 67%
As a % of 2025 forecasted load (including San Luis Obispo County & City of Atascadero) Pathway to 100% Clean and Renewable

3CE Central Coast Community Energy
ACFR Annual Comprehensive Financial Report
AMP Arrearage Management Plan
BioMAT Bioenergy Market Adjusting Tariff
CCA Community Choice Aggregator
CAISO California Independent System Operator
CalCCA California Community Choice Association
CCO Chief Communications Officer
CEC California Energy Commission
CEO Chief Executive Officer
CFO Chief Financial Officer
COE Cost of Energy
COO Chief Operations Officer
COS Cost of Service
CPUC California Public Utilities Commission
DSM Demand-Side Management
FTE Full-Time Equivalent
FY Fiscal Year
GAAP Generally Accepted Accounting Principles
IOU Investor-Owned Utility
kWh Kilowatt-hour
LSE Load Serving Entity
MT CO2e Metric Tons of Carbon Dioxide Emissions
MW Megawatt
MWh Megawatt-hour
PG&E Pacific Gas & Electric
PPA Power Purchase Agreement
RA Resource Adequacy
RMC Risk Management Committee
ROI Return on Investment
SCE Southern California Edison
US EIA US Energy Information Administration
WREGIS Western Renewable Energy Generation
Information System
Glossary

55 Page 130 of 161

POWER FOR GOOD POWER FOR GOOD POWER FOR GOOD

DRAFT RESOLUTION NO. PB-2024-08

A RESOLUTION OF THE CENTRAL COAST COMMUNITY ENERGY POLICY BOARD OF DIRECTORS APPROVING THE FISCAL YEAR 2024-25 RECOMMENDED BUDGET AND
CALENDAR YEAR 2025 ELECTRIC GENERATION RATES
WHEREAS, Central Coast Community Energy (3CE) is a Joint Powers Authority (JPA) established and operated pursuant to California Government Code sections 6500 et seq. to study, promote, develop, conduct, operate, and manage energy programs in the California Central Coast region of Santa Cruz, Monterey, San Benito, Santa Barbara, and San Luis Obispo counties; and
WHEREAS, 3CE is a community choice aggregator (CCA), as such term is defined in section 331.1 of the Public Utilities Code of the State of California (Public Utilities Code), that is a public agency, as such term is defined in the JPA law, which has implemented a CCA program pursuant to section 366.2 of the Public Utilities Code, and possesses the power to purchase and sell electric energy and enter related contracts for such purposes; and WHEREAS, pursuant to sections 3.3.1 and 3.3.3 (d and f) of the Joint Powers Agreement, as amended from time to time, the Policy Board is responsible for adopting the annual operating budget and setting the 3CE electric generation rates consistent with California’s Constitution and applicable state law; and WHEREAS, at a duly noticed public meeting in June of 2021, 3CE adopted Resolution No. PB-2021-05 adopting the cost-of-service rate design. This resolution established cost-based rates in PG&E territory based on a cost-of-service analysis and rate design that maintained competitiveness with the incumbent investor-owned utility (IOU) and recovered the forecasted necessary revenue requirement for 3CE to operate; and WHEREAS, 3CE conducted comprehensive outreach to inform customers about the intended cost-of-service methodology and rate-setting process by holding a publicly noticed mid-year Rates and Programs webinar on May 22, 2024. The webinar was attended live and has been posted in both English and Spanish on the 3CE YouTube channel; and
WHEREAS, at a duly noticed public meeting on February 21, 2024, the Policy Board of 3CE considered and discussed 3CE’s 2025 rate design and approach. At a duly noticed public meeting on June 26, 2024, the Policy Board of 3CE adopted Resolution No. PB-2024-06 which approved the 2025 Rate Structure Methodology by adopting a single test year of 2025 to determine the revenue requirement using a single territory rate structure and adopted Resolution No. PB-2024-04 which approved the FY 2024-24 Financial Policies that set financial reserve targets; and
WHEREAS, 3CE developed a rate design that allocates the 2025 revenue requirement to its customer classes and built proposed rate values for the individual customer rate codes; and WHEREAS, the FY 2024-25 Recommended Budget was presented to the Audit & Finance Committee on August 28, 2024, and the Operations Board on September 18, 2024; and WHEREAS, the Policy Board has carefully considered the Staff Report and accompanying exhibits, public comment, customer input, and comments at its publicly noticed September 19, 2024 meeting; and

NOW, THEREFORE, THE CENTRAL COAST COMMUNITY ENERGY POLICY BOARD OF DIRECTORS DOES HEREBY RESOLVE, DETERMINE, AND ORDER AS FOLLOWS:

1. The Policy Board hereby adopts:

a. The FY 2024-25 Recommended Budget, with $730,348,756 in appropriations funded with $753,030,756 in operating revenue and $17,318,000 in the use of the Capital Infrastructure Reserve as set forth in Attachment A.
b. The Policy Board finds that the adopted FY 2024-25 Recommended Budget accurately represents the reasonable cost to serve customers.
c. 3CE’s rates are developed in compliance with the cost-based rate methodology authorized by the Policy Board at its duly noticed public meeting on June 26, 2024. d. The Policy Board finds that balancing customer rates to ensure a reasonable cost competitive position to the investor-owned utilities is in 3CE customers’ best interest and a reasonable and appropriate measure to mitigate “opt-out” risk.
e. The Policy Board hereby approves the proposed cost of service rates as set forth in Attachments B and C, and to be formally adopted as part of the FY 2024-25 budget process. f. The Board finds that the proposed rates as set out in Attachments B and C are reasonable and in the best interest of 3CE customers.
g. The Policy Board further directs staff to evaluate the effectiveness of its rates on an annual basis for the next two fiscal years to update the approved cost of service model for the purpose of determining whether an annual rate change is necessary. h. The Policy Board directs staff to monitor and determine when market or industry conditions beyond 3CE’s control require the approved cost of service model and subsequent 3CE customer rates to be modified between the annual evaluations. i. The CEO is hereby authorized and directed to take such other and further actions as may be necessary and appropriate to implement the intent and purpose of this resolution. j. The Board finds that this resolution and adoption of the proposed cost of service rates are exempt from the requirement of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines, as it is not a “project” because it involves only organizational and administrative activities of government that will not result in direct or indirect physical changes to the environment. (14 Cal. Code Regs. § 15378 (b)(5).) Further, the resolution is exempt from CEQA, as there is no possibility that the resolution or its implementation would have a significant effect on the environment (14 Cal. Code Regs § 15061 (b)(3).) 3CE will cause a Notice of Exemption to be filed as authorized by CEQA and the CEQA guidelines.
k. In the event of a fiscal emergency or the emergence of a significant shift in market or industry conditions threaten the fiscal stability of 3CE such that its credit rating or fiscal outlook are in danger of a downgrade, the Policy Board delegates to the Chief Executive Officer (CEO) the authority to take immediate action to adjust the approved rates between meetings of the Policy Board when needed to achieve the goals set by the Policy Board. l. In the event of such fiscal emergency or threatened downgrade requiring the CEO to adjust rates between meetings of the Policy Board, the CEO shall place a report on the agency of the next regular meeting of the Policy Board explaining the adjustment and the reasons for the adjustment and requesting that the Policy Board ratify the actions of the CEO. m. If any provision of this Resolution, or any part thereof, is for any reason held to be invalid, unenforceable, or unconstitutional, the remaining provisions shall be not affected but shall remain in full force and effect, and to this end the provisions of this Resolution are severable. n. The above recitals are true and correct and substantial evidence supports them.

PASSED AND ADOPTED this 19th Day of September 2024, by the following vote:

AYES:

NOES:

ABSENT:
__________________________________
Chair, Das Williams
__________________________________
Board Clerk, Heather Vowell

ATTACHMENT A
FY 2024-25 Recommend Budget
Prior Year
Actuals
2022-2023
Adopted
Budget
2023-2024
Mid-Year
Estimate
2023-2024
Requested
Budget
2024-2025
Recommended
Budget
2024-2025
Recommended
Change from
Adopted
Electricity Sales 450,713,404 556,433,448 551,405,974 745,962,356 745,962,356 189,528,907 Interest and Investment Returns 8,184,122 6,400,000 9,950,446 7,000,000 7,000,000 600,000 Other Income 2,356,837 - 88,732 68,400 68,400 68,400
Sub-Total Revenues 461,254,363 562,833,448 561,445,152 753,030,756 753,030,756 190,197,307 Capital Infrastructure Reserve - - - 17,318,000 17,318,000 17,318,000 Total Financing Sources 461,254,363 562,833,448 561,445,152 770,348,756 770,348,756 207,515,307 Cost of Energy 398,746,769 520,297,514 538,515,199 665,267,116 665,267,116 144,969,602 Salaries and Benefits 6,200,592 9,537,076 8,789,063 13,086,907 12,585,841 3,048,765 Services and Supplies 21,646,235 32,998,858 26,839,006 35,249,798 35,177,798 2,178,940 Capital Assets - - 210,000 17,318,000 17,318,000 17,318,000 Total Financing Uses 426,593,596 562,833,448 574,353,268 730,921,822 730,348,756 167,515,308 Total Budgeted Change to Net Position 34,660,767 0 (12,908,116) 39,426,934 40,000,000 40,000,000

ATTACHMENT B
3CE Single Territory Effective Generation Rates by Class 3CE Class
3CE Single Territory
Effective Gen Rates – 2025
($/kWh)
Residential $ 0.14475
Small Commercial $ 0.12468
Medium Commercial $ 0.11895
Large Commercial $ 0.11761
Sm/Med Agricultural $ 0.13834
Large Agricultural $ 0.12904
Business Electric Vehicles $ 0.11776
Standby $ 0.10224
Lighting $ 0.11867

ATTACHMENT C
Proposed 3CE Rate Values by Rate Code and Time Period ($/kWh) 3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Residential D Year Round $0.14232 $0.15032
Residential TOU-D-4 Summer On Peak $0.27920 $0.28720
Residential TOU-D-4 Summer Mid Peak $0.16245 $0.17045
Residential TOU-D-4 Summer Off Peak $0.09908 $0.10708
Residential TOU-D-4 Winter Mid Peak $0.20682 $0.21482
Residential TOU-D-4 Winter Off Peak $0.12626 $0.13426
Residential TOU-D-4 Winter Super Off Peak $0.10682 $0.11482 Residential TOU-D-5 Summer On Peak $0.43245 $0.44045
Residential TOU-D-5 Summer Mid Peak $0.23594 $0.24394
Residential TOU-D-5 Summer Off Peak $0.09043 $0.09843
Residential TOU-D-5 Winter Mid Peak $0.29843 $0.30643
Residential TOU-D-5 Winter Off Peak $0.12593 $0.13393
Residential TOU-D-5 Winter Super Off Peak $0.09716 $0.10516 Residential TOU-D-PRIME Summer On Peak $0.36849 $0.37649 Residential TOU-D-PRIME Summer Mid Peak $0.13114 $0.13914 Residential TOU-D-PRIME Summer Off Peak $0.08756 $0.09556 Residential TOU-D-PRIME Winter Mid Peak $0.33279 $0.34079 Residential TOU-D-PRIME Winter Off Peak $0.07399 $0.08199 Residential TOU-D-PRIME Winter Super Off Peak $0.07399 $0.08199 Residential E-1 Year Round $0.14974 $0.15774
Residential E-ELEC Summer On Peak $0.28106 $0.28906
Residential E-ELEC Summer Part Peak $0.18604 $0.19404
Residential E-ELEC Summer Off Peak $0.14281 $0.15081
Residential E-ELEC Winter On Peak $0.12564 $0.13364
Residential E-ELEC Winter Part Peak $0.10649 $0.11449
Residential E-ELEC Winter Off Peak $0.09369 $0.10169
Residential E-TOU-B Summer On Peak $0.25936 $0.26736
Residential E-TOU-B Summer Off Peak $0.14191 $0.14991
Residential E-TOU-B Winter On Peak $0.15819 $0.16619
Residential E-TOU-B Winter Off Peak $0.12116 $0.12916
Residential E-TOU-C Summer On Peak $0.21360 $0.22160
Residential E-TOU-C Summer Off Peak $0.13429 $0.14229
Residential E-TOU-C Winter On Peak $0.15621 $0.16421
Residential E-TOU-C Winter Off Peak $0.13071 $0.13871
Residential E-TOU-D Summer On Peak $0.22462 $0.23262
Residential E-TOU-D Summer Off Peak $0.12418 $0.13218
Residential E-TOU-D Winter On Peak $0.18551 $0.19351
Residential E-TOU-D Winter Off Peak $0.15194 $0.15994

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Residential EV-A/B Summer On Peak $0.29795 $0.30595
Residential EV-A/B Summer Part Peak $0.16564 $0.17364
Residential EV-A/B Summer Off Peak $0.12287 $0.13087
Residential EV-A/B Winter On Peak $0.11862 $0.12662
Residential EV-A/B Winter Part Peak $0.09570 $0.10370
Residential EV-A/B Winter Off Peak $0.09570 $0.10370
Residential EV-2A Summer On Peak $0.20844 $0.21644
Residential EV-2A Summer Part Peak $0.16580 $0.17380
Residential EV-2A Summer Off Peak $0.12656 $0.13456
Residential EV-2A Winter On Peak $0.15419 $0.16219
Residential EV-2A Winter Part Peak $0.14229 $0.15029
Residential EV-2A Winter Off Peak $0.11989 $0.12789
Small Commercial TOU-GS-1-D-SEC Summer On Peak $0.17773 $0.18573 Small Commercial TOU-GS-1-D-SEC Summer Mid Peak $0.16049 $0.16849 Small Commercial TOU-GS-1-D-SEC Summer Off Peak $0.10519 $0.11319 Small Commercial TOU-GS-1-D-SEC Winter Mid Peak $0.16729 $0.17529 Small Commercial TOU-GS-1-D-SEC Winter Off Peak $0.11810 $0.12610 Small Commercial TOU-GS-1-D-SEC Winter Super Off Peak $0.08836 $0.09636 Small Commercial TOU-GS-1-D-PRI Summer On Peak $0.17690 $0.18490 Small Commercial TOU-GS-1-D-PRI Summer Mid Peak $0.15967 $0.16767 Small Commercial TOU-GS-1-D-PRI Summer Off Peak $0.10440 $0.11240 Small Commercial TOU-GS-1-D-PRI Winter Mid Peak $0.16646 $0.17446 Small Commercial TOU-GS-1-D-PRI Winter Off Peak $0.11730 $0.12530 Small Commercial TOU-GS-1-D-PRI Winter Super Off Peak $0.08759 $0.09559 Small Commercial TOU-GS-1-D-SUB Summer On Peak $0.13105 $0.13905 Small Commercial TOU-GS-1-D-SUB Summer Mid Peak $0.12135 $0.12935 Small Commercial TOU-GS-1-D-SUB Summer Off Peak $0.09025 $0.09825 Small Commercial TOU-GS-1-D-SUB Winter Mid Peak $0.12518 $0.13318 Small Commercial TOU-GS-1-D-SUB Winter Off Peak $0.09751 $0.10551 Small Commercial TOU-GS-1-D-SUB Winter Super Off Peak $0.08079 $0.08879 Small Commercial TOU-GS-1-D-TRANS Summer On Peak $0.13103 $0.13903 Small Commercial TOU-GS-1-D-TRANS Summer Mid Peak $0.12133 $0.12933 Small Commercial TOU-GS-1-D-TRANS Summer Off Peak $0.09023 $0.09823 Small Commercial TOU-GS-1-D-TRANS Winter Mid Peak $0.12515 $0.13315 Small Commercial TOU-GS-1-D-TRANS Winter Off Peak $0.09749 $0.10549 Small Commercial TOU-GS-1-D-TRANS Winter Super Off Peak $0.08076 $0.08876 Small Commercial TOU-GS-1-E-SEC Summer On Peak $0.49564 $0.50364 Small Commercial TOU-GS-1-E-SEC Summer Mid Peak $0.13195 $0.13995 Small Commercial TOU-GS-1-E-SEC Summer Off Peak $0.09433 $0.10233 Small Commercial TOU-GS-1-E-SEC Winter Mid Peak $0.20026 $0.20826 Small Commercial TOU-GS-1-E-SEC Winter Off Peak $0.11124 $0.11924

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Small Commercial TOU-GS-1-E-SEC Winter Super Off Peak $0.05840 $0.06640 Small Commercial TOU-GS-1-E-PRI Summer On Peak $0.49558 $0.50358 Small Commercial TOU-GS-1-E-PRI Summer Mid Peak $0.13084 $0.13884 Small Commercial TOU-GS-1-E-PRI Summer Off Peak $0.09311 $0.10111 Small Commercial TOU-GS-1-E-PRI Winter Mid Peak $0.19935 $0.20735 Small Commercial TOU-GS-1-E-PRI Winter Off Peak $0.11007 $0.11807 Small Commercial TOU-GS-1-E-PRI Winter Super Off Peak $0.05707 $0.06507 Small Commercial TOU-GS-1-E-SUB Summer On Peak $0.40217 $0.41017 Small Commercial TOU-GS-1-E-SUB Summer Mid Peak $0.12866 $0.13666 Small Commercial TOU-GS-1-E-SUB Summer Off Peak $0.10036 $0.10836 Small Commercial TOU-GS-1-E-SUB Winter Mid Peak $0.18003 $0.18803 Small Commercial TOU-GS-1-E-SUB Winter Off Peak $0.11308 $0.12108 Small Commercial TOU-GS-1-E-SUB Winter Super Off Peak $0.07334 $0.08134 Small Commercial TOU-GS-1-E-TRANS Summer On Peak $0.40214 $0.41014 Small Commercial TOU-GS-1-E-TRANS Summer Mid Peak $0.12863 $0.13663 Small Commercial TOU-GS-1-E-TRANS Summer Off Peak $0.10033 $0.10833 Small Commercial TOU-GS-1-E-TRANS Winter Mid Peak $0.18000 $0.18800 Small Commercial TOU-GS-1-E-TRANS Winter Off Peak $0.11305 $0.12105 Small Commercial TOU-GS-1-E-TRANS Winter Super Off Peak $0.07331 $0.08131 Small Commercial TOU-GS-1-ES-SEC Summer On Peak $0.43467 $0.44267 Small Commercial TOU-GS-1-ES-SEC Summer Mid Peak $0.14226 $0.15026 Small Commercial TOU-GS-1-ES-SEC Summer Off Peak $0.10820 $0.11620 Small Commercial TOU-GS-1-ES-SEC Winter Mid Peak $0.17443 $0.18243 Small Commercial TOU-GS-1-ES-SEC Winter Off Peak $0.10905 $0.11705 Small Commercial TOU-GS-1-ES-SEC Winter Super Off Peak $0.07269 $0.08069 Small Commercial TOU-GS-1-ES-PRI Summer On Peak $0.43355 $0.44155 Small Commercial TOU-GS-1-ES-PRI Summer Mid Peak $0.14114 $0.14914 Small Commercial TOU-GS-1-ES-PRI Summer Off Peak $0.10708 $0.11508 Small Commercial TOU-GS-1-ES-PRI Winter Mid Peak $0.17331 $0.18131 Small Commercial TOU-GS-1-ES-PRI Winter Off Peak $0.10793 $0.11593 Small Commercial TOU-GS-1-ES-PRI Winter Super Off Peak $0.07157 $0.07957 Small Commercial TOU-GS-1-ES-SUB Summer On Peak $0.43222 $0.44022 Small Commercial TOU-GS-1-ES-SUB Summer Mid Peak $0.13981 $0.14781 Small Commercial TOU-GS-1-ES-SUB Summer Off Peak $0.10575 $0.11375 Small Commercial TOU-GS-1-ES-SUB Winter Mid Peak $0.17198 $0.17998 Small Commercial TOU-GS-1-ES-SUB Winter Off Peak $0.10660 $0.11460 Small Commercial TOU-GS-1-ES-SUB Winter Super Off Peak $0.07024 $0.07824 Small Commercial TOU-GS-1-ES-TRANS Summer On Peak $0.43219 $0.44019 Small Commercial TOU-GS-1-ES-TRANS Summer Mid Peak $0.13978 $0.14778 Small Commercial TOU-GS-1-ES-TRANS Summer Off Peak $0.10572 $0.11372 Small Commercial TOU-GS-1-ES-TRANS Winter Mid Peak $0.17195 $0.17995

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Small Commercial TOU-GS-1-ES-TRANS Winter Off Peak $0.10657 $0.11457 Small Commercial TOU-GS-1-ES-TRANS Winter Super Off Peak $0.07021 $0.07821 Small Commercial TOU-GS-1-A Summer On Peak $0.17828 $0.18628 Small Commercial TOU-GS-1-A Summer Mid Peak $0.16674 $0.17474 Small Commercial TOU-GS-1-A Summer Off Peak $0.16045 $0.16845 Small Commercial TOU-GS-1-A Winter Mid Peak $0.11832 $0.12632 Small Commercial TOU-GS-1-A Winter Off Peak $0.10649 $0.11449 Small Commercial TOU-GS-1-B Summer On Peak $0.15221 $0.16021 Small Commercial TOU-GS-1-B Summer Mid Peak $0.14237 $0.15037 Small Commercial TOU-GS-1-B Summer Off Peak $0.13700 $0.14500 Small Commercial TOU-GS-1-B Winter Mid Peak $0.18521 $0.19321 Small Commercial TOU-GS-1-B Winter Off Peak $0.16669 $0.17469 Small Commercial B-1 Summer On Peak $0.17769 $0.18569
Small Commercial B-1 Summer Part Peak $0.13639 $0.14439 Small Commercial B-1 Summer Off Peak $0.11894 $0.12694
Small Commercial B-1 Winter On Peak $0.13135 $0.13935
Small Commercial B-1 Winter Off Peak $0.11783 $0.12583
Small Commercial B-1 Winter Super Off Peak $0.10405 $0.11205 Small Commercial B-1-ST Summer On Peak $0.18167 $0.18967 Small Commercial B-1-ST Summer Part Peak $0.14608 $0.15408 Small Commercial B-1-ST Summer Off Peak $0.11612 $0.12412 Small Commercial B-1-ST Winter On Peak $0.13928 $0.14728 Small Commercial B-1-ST Winter Part Peak $0.12893 $0.13693 Small Commercial B-1-ST Winter Off Peak $0.11049 $0.11849 Small Commercial B-1-ST Winter Super Off Peak $0.09673 $0.10473 Small Commercial B-6 Summer On Peak $0.25662 $0.26462
Small Commercial B-6 Summer Off Peak $0.11417 $0.12217
Small Commercial B-6 Winter On Peak $0.13890 $0.14690
Small Commercial B-6 Winter Off Peak $0.10575 $0.11375
Small Commercial B-6 Winter Super Off Peak $0.07550 $0.08350 Small Commercial A-1-A Year Round $0.12420 $0.13220
Small Commercial A-1-B Summer On Peak $0.14337 $0.15137 Small Commercial A-1-B Summer Part Peak $0.14337 $0.15137 Small Commercial A-1-B Summer Off Peak $0.12266 $0.13066 Small Commercial A-1-B Winter Part Peak $0.11760 $0.12560 Small Commercial A-1-B Winter Off Peak $0.11711 $0.12511 Small Commercial A-6 Summer On Peak $0.15481 $0.16281
Small Commercial A-6 Summer Part Peak $0.15481 $0.16281 Small Commercial A-6 Summer Off Peak $0.12652 $0.13452
Small Commercial A-6 Winter Part Peak $0.11866 $0.12666 Small Commercial A-6 Winter Off Peak $0.11806 $0.12606

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Medium Commercial TOU-GS-2-D-SEC Summer On Peak $0.18086 $0.18886 Medium Commercial TOU-GS-2-D-SEC Summer Mid Peak $0.16491 $0.17291 Medium Commercial TOU-GS-2-D-SEC Summer Off Peak $0.10581 $0.11381 Medium Commercial TOU-GS-2-D-SEC Winter Mid Peak $0.12209 $0.13009 Medium Commercial TOU-GS-2-D-SEC Winter Off Peak $0.12283 $0.13083 Medium Commercial TOU-GS-2-D-SEC Winter Super Off Peak $0.06448 $0.07248 Medium Commercial TOU-GS-2-D-PRI Summer On Peak $0.17880 $0.18680 Medium Commercial TOU-GS-2-D-PRI Summer Mid Peak $0.16289 $0.17089 Medium Commercial TOU-GS-2-D-PRI Summer Off Peak $0.10398 $0.11198 Medium Commercial TOU-GS-2-D-PRI Winter Mid Peak $0.12021 $0.12821 Medium Commercial TOU-GS-2-D-PRI Winter Off Peak $0.12095 $0.12895 Medium Commercial TOU-GS-2-D-PRI Winter Super Off Peak $0.06279 $0.07079 Medium Commercial TOU-GS-2-D-SUB Summer On Peak $0.17615 $0.18415 Medium Commercial TOU-GS-2-D-SUB Summer Mid Peak $0.16032 $0.16832 Medium Commercial TOU-GS-2-D-SUB Summer Off Peak $0.10170 $0.10970 Medium Commercial TOU-GS-2-D-SUB Winter Mid Peak $0.11785 $0.12585 Medium Commercial TOU-GS-2-D-SUB Winter Off Peak $0.11858 $0.12658 Medium Commercial TOU-GS-2-D-SUB Winter Super Off Peak $0.06071 $0.06871 Medium Commercial TOU-GS-2-D-TRANS Summer On Peak $0.12171 $0.12971 Medium Commercial TOU-GS-2-D-TRANS Summer Mid Peak $0.11334 $0.12134 Medium Commercial TOU-GS-2-D-TRANS Summer Off Peak $0.08231 $0.09031 Medium Commercial TOU-GS-2-D-TRANS Winter Mid Peak $0.09086 $0.09886 Medium Commercial TOU-GS-2-D-TRANS Winter Off Peak $0.09125 $0.09925 Medium Commercial TOU-GS-2-D-TRANS Winter Super Off Peak $0.06062 $0.06862 Medium Commercial TOU-GS-2-E-SEC Summer On Peak $0.48281 $0.49081 Medium Commercial TOU-GS-2-E-SEC Summer Mid Peak $0.13103 $0.13903 Medium Commercial TOU-GS-2-E-SEC Summer Off Peak $0.08407 $0.09207 Medium Commercial TOU-GS-2-E-SEC Winter Mid Peak $0.15082 $0.15882 Medium Commercial TOU-GS-2-E-SEC Winter Off Peak $0.09759 $0.10559 Medium Commercial TOU-GS-2-E-SEC Winter Super Off Peak $0.05123 $0.05923 Medium Commercial TOU-GS-2-E-PRI Summer On Peak $0.48134 $0.48934 Medium Commercial TOU-GS-2-E-PRI Summer Mid Peak $0.12934 $0.13734 Medium Commercial TOU-GS-2-E-PRI Summer Off Peak $0.08236 $0.09036 Medium Commercial TOU-GS-2-E-PRI Winter Mid Peak $0.14915 $0.15715 Medium Commercial TOU-GS-2-E-PRI Winter Off Peak $0.09589 $0.10389 Medium Commercial TOU-GS-2-E-PRI Winter Super Off Peak $0.04950 $0.05750 Medium Commercial TOU-GS-2-E-SUB Summer On Peak $0.34487 $0.35287 Medium Commercial TOU-GS-2-E-SUB Summer Mid Peak $0.11247 $0.12047 Medium Commercial TOU-GS-2-E-SUB Summer Off Peak $0.08145 $0.08945 Medium Commercial TOU-GS-2-E-SUB Winter Mid Peak $0.12555 $0.13355 Medium Commercial TOU-GS-2-E-SUB Winter Off Peak $0.09038 $0.09838

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Medium Commercial TOU-GS-2-E-SUB Winter Super Off Peak $0.05976 $0.06776 Medium Commercial TOU-GS-2-E-TRANS Summer On Peak $0.34485 $0.35285 Medium Commercial TOU-GS-2-E-TRANS Summer Mid Peak $0.11245 $0.12045 Medium Commercial TOU-GS-2-E-TRANS Summer Off Peak $0.08143 $0.08943 Medium Commercial TOU-GS-2-E-TRANS Winter Mid Peak $0.12553 $0.13353 Medium Commercial TOU-GS-2-E-TRANS Winter Off Peak $0.09036 $0.09836 Medium Commercial TOU-GS-2-E-TRANS Winter Super Off Peak $0.05974 $0.06774 Medium Commercial TOU-GS-2-B Summer On Peak $0.11967 $0.12767 Medium Commercial TOU-GS-2-B Summer Mid Peak $0.11194 $0.11994 Medium Commercial TOU-GS-2-B Summer Off Peak $0.10771 $0.11571 Medium Commercial TOU-GS-2-B Winter Mid Peak $0.14542 $0.15342 Medium Commercial TOU-GS-2-B Winter Off Peak $0.08591 $0.09391 Medium Commercial TOU-GS-2-R Summer On Peak $0.35982 $0.36782 Medium Commercial TOU-GS-2-R Summer Mid Peak $0.17101 $0.17901 Medium Commercial TOU-GS-2-R Summer Off Peak $0.09675 $0.10475 Medium Commercial TOU-GS-2-R Winter Mid Peak $0.13061 $0.13861 Medium Commercial TOU-GS-2-R Winter Off Peak $0.07716 $0.08516 Medium Commercial TOU-GS-3-D-SEC Summer On Peak $0.15713 $0.16513 Medium Commercial TOU-GS-3-D-SEC Summer Mid Peak $0.14329 $0.15129 Medium Commercial TOU-GS-3-D-SEC Summer Off Peak $0.09677 $0.10477 Medium Commercial TOU-GS-3-D-SEC Winter Mid Peak $0.11167 $0.11967 Medium Commercial TOU-GS-3-D-SEC Winter Off Peak $0.11235 $0.12035 Medium Commercial TOU-GS-3-D-SEC Winter Super Off Peak $0.05900 $0.06700 Medium Commercial TOU-GS-3-D-PRI Summer On Peak $0.15548 $0.16348 Medium Commercial TOU-GS-3-D-PRI Summer Mid Peak $0.14166 $0.14966 Medium Commercial TOU-GS-3-D-PRI Summer Off Peak $0.09522 $0.10322 Medium Commercial TOU-GS-3-D-PRI Winter Mid Peak $0.11009 $0.11809 Medium Commercial TOU-GS-3-D-PRI Winter Off Peak $0.11077 $0.11877 Medium Commercial TOU-GS-3-D-PRI Winter Super Off Peak $0.05751 $0.06551 Medium Commercial TOU-GS-3-D-SUB Summer On Peak $0.11101 $0.11901 Medium Commercial TOU-GS-3-D-SUB Summer Mid Peak $0.10326 $0.11126 Medium Commercial TOU-GS-3-D-SUB Summer Off Peak $0.07720 $0.08520 Medium Commercial TOU-GS-3-D-SUB Winter Mid Peak $0.08555 $0.09355 Medium Commercial TOU-GS-3-D-SUB Winter Off Peak $0.08593 $0.09393 Medium Commercial TOU-GS-3-D-SUB Winter Super Off Peak $0.05604 $0.06404 Medium Commercial TOU-GS-3-D-TRANS Summer On Peak $0.11099 $0.11899 Medium Commercial TOU-GS-3-D-TRANS Summer Mid Peak $0.10324 $0.11124 Medium Commercial TOU-GS-3-D-TRANS Summer Off Peak $0.07718 $0.08518 Medium Commercial TOU-GS-3-D-TRANS Winter Mid Peak $0.08553 $0.09353 Medium Commercial TOU-GS-3-D-TRANS Winter Off Peak $0.08591 $0.09391 Medium Commercial TOU-GS-3-D-TRANS Winter Super Off Peak $0.05602 $0.06402

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Medium Commercial TOU-GS-3-E-SEC Summer On Peak $0.38113 $0.38913 Medium Commercial TOU-GS-3-E-SEC Summer Mid Peak $0.11762 $0.12562 Medium Commercial TOU-GS-3-E-SEC Summer Off Peak $0.07944 $0.08744 Medium Commercial TOU-GS-3-E-SEC Winter Mid Peak $0.14759 $0.15559 Medium Commercial TOU-GS-3-E-SEC Winter Off Peak $0.09223 $0.10023 Medium Commercial TOU-GS-3-E-SEC Winter Super Off Peak $0.04843 $0.05643 Medium Commercial TOU-GS-3-E-PRI Summer On Peak $0.28336 $0.29136 Medium Commercial TOU-GS-3-E-PRI Summer Mid Peak $0.10354 $0.11154 Medium Commercial TOU-GS-3-E-PRI Summer Off Peak $0.07748 $0.08548 Medium Commercial TOU-GS-3-E-PRI Winter Mid Peak $0.12399 $0.13199 Medium Commercial TOU-GS-3-E-PRI Winter Off Peak $0.08621 $0.09421 Medium Commercial TOU-GS-3-E-PRI Winter Super Off Peak $0.05632 $0.06432 Medium Commercial TOU-GS-3-E-SUB Summer On Peak $0.28159 $0.28959 Medium Commercial TOU-GS-3-E-SUB Summer Mid Peak $0.10177 $0.10977 Medium Commercial TOU-GS-3-E-SUB Summer Off Peak $0.07571 $0.08371 Medium Commercial TOU-GS-3-E-SUB Winter Mid Peak $0.12222 $0.13022 Medium Commercial TOU-GS-3-E-SUB Winter Off Peak $0.08444 $0.09244 Medium Commercial TOU-GS-3-E-SUB Winter Super Off Peak $0.05455 $0.06255 Medium Commercial TOU-GS-3-E-TRANS Summer On Peak $0.28156 $0.28956 Medium Commercial TOU-GS-3-E-TRANS Summer Mid Peak $0.10174 $0.10974 Medium Commercial TOU-GS-3-E-TRANS Summer Off Peak $0.07568 $0.08368 Medium Commercial TOU-GS-3-E-TRANS Winter Mid Peak $0.12219 $0.13019 Medium Commercial TOU-GS-3-E-TRANS Winter Off Peak $0.08441 $0.09241 Medium Commercial TOU-GS-3-E-TRANS Winter Super Off Peak $0.05452 $0.06252 Medium Commercial TOU-GS-3-B Summer On Peak $0.10779 $0.11579 Medium Commercial TOU-GS-3-B Summer Mid Peak $0.10064 $0.10864 Medium Commercial TOU-GS-3-B Summer Off Peak $0.09700 $0.10500 Medium Commercial TOU-GS-3-B Winter Mid Peak $0.13679 $0.14479 Medium Commercial TOU-GS-3-B Winter Off Peak $0.07970 $0.08770 Medium Commercial TOU-GS-3-R Summer On Peak $0.21492 $0.22292 Medium Commercial TOU-GS-3-R Summer Mid Peak $0.11849 $0.12649 Medium Commercial TOU-GS-3-R Summer Off Peak $0.08365 $0.09165 Medium Commercial TOU-GS-3-R Winter Mid Peak $0.10782 $0.11582 Medium Commercial TOU-GS-3-R Winter Off Peak $0.07313 $0.08113 Medium Commercial B-10-S Summer On Peak $0.13334 $0.14134 Medium Commercial B-10-S Summer Part Peak $0.09894 $0.10694 Medium Commercial B-10-S Summer Off Peak $0.08078 $0.08878 Medium Commercial B-10-S Winter On Peak $0.10097 $0.10897 Medium Commercial B-10-S Winter Off Peak $0.08118 $0.08918 Medium Commercial B-10-S Winter Super Off Peak $0.06092 $0.06892 Medium Commercial B-10-P Summer On Peak $0.12245 $0.13045

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Medium Commercial B-10-P Summer Part Peak $0.09008 $0.09808 Medium Commercial B-10-P Summer Off Peak $0.07296 $0.08096 Medium Commercial B-10-P Winter On Peak $0.09212 $0.10012 Medium Commercial B-10-P Winter Off Peak $0.07344 $0.08144 Medium Commercial B-10-P Winter Super Off Peak $0.05326 $0.06126 Medium Commercial B-10-T Summer On Peak $0.11109 $0.11909 Medium Commercial B-10-T Summer Part Peak $0.07811 $0.08611 Medium Commercial B-10-T Summer Off Peak $0.06064 $0.06864 Medium Commercial B-10-T Winter On Peak $0.08026 $0.08826 Medium Commercial B-10-T Winter Off Peak $0.06118 $0.06918 Medium Commercial B-10-T Winter Super Off Peak $0.04006 $0.04806 Medium Commercial A-10-A-S Year Round $0.08836 $0.09636 Medium Commercial A-10-A-P Year Round $0.07918 $0.08718 Medium Commercial A-10-A-T Year Round $0.06694 $0.07494 Medium Commercial A-10-B-S Summer On Peak $0.10176 $0.10976 Medium Commercial A-10-B-S Summer Part Peak $0.10176 $0.10976 Medium Commercial A-10-B-S Summer Off Peak $0.08685 $0.09485 Medium Commercial A-10-B-S Winter Part Peak $0.08249 $0.09049 Medium Commercial A-10-B-S Winter Off Peak $0.08210 $0.09010 Medium Commercial A-10-B-P Summer On Peak $0.09289 $0.10089 Medium Commercial A-10-B-P Summer Part Peak $0.09289 $0.10089 Medium Commercial A-10-B-P Summer Off Peak $0.07818 $0.08618 Medium Commercial A-10-B-P Winter Part Peak $0.07387 $0.08187 Medium Commercial A-10-B-P Winter Off Peak $0.07348 $0.08148 Medium Commercial A-10-B-T Summer On Peak $0.08032 $0.08832 Medium Commercial A-10-B-T Summer Part Peak $0.08032 $0.08832 Medium Commercial A-10-B-T Summer Off Peak $0.06600 $0.07400 Medium Commercial A-10-B-T Winter Part Peak $0.06179 $0.06979 Medium Commercial A-10-B-T Winter Off Peak $0.06141 $0.06941 Medium Commercial B-19-S Summer On Peak $0.25074 $0.25874 Medium Commercial B-19-S Summer Part Peak $0.19064 $0.19864 Medium Commercial B-19-S Summer Off Peak $0.14812 $0.15612 Medium Commercial B-19-S Winter On Peak $0.21257 $0.22057 Medium Commercial B-19-S Winter Off Peak $0.14796 $0.15596 Medium Commercial B-19-S Winter Super Off Peak $0.06128 $0.06928 Medium Commercial B-19-P Summer On Peak $0.09731 $0.10531 Medium Commercial B-19-P Summer Part Peak $0.07704 $0.08504 Medium Commercial B-19-P Summer Off Peak $0.05941 $0.06741 Medium Commercial B-19-P Winter On Peak $0.08552 $0.09352 Medium Commercial B-19-P Winter Off Peak $0.05962 $0.06762 Medium Commercial B-19-P Winter Super Off Peak $0.02278 $0.03078

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Medium Commercial B-19-T Summer On Peak $0.11492 $0.12292 Medium Commercial B-19-T Summer Part Peak $0.10380 $0.11180 Medium Commercial B-19-T Summer Off Peak $0.08011 $0.08811 Medium Commercial B-19-T Winter On Peak $0.11417 $0.12217 Medium Commercial B-19-T Winter Off Peak $0.08063 $0.08863 Medium Commercial B-19-T Winter Super Off Peak $0.03129 $0.03929 Medium Commercial B-19-R-S Summer On Peak $0.16972 $0.17772 Medium Commercial B-19-R-S Summer Part Peak $0.09419 $0.10219 Medium Commercial B-19-R-S Summer Off Peak $0.07273 $0.08073 Medium Commercial B-19-R-S Winter On Peak $0.09627 $0.10427 Medium Commercial B-19-R-S Winter Off Peak $0.07270 $0.08070 Medium Commercial B-19-R-S Winter Super Off Peak $0.05274 $0.06074 Medium Commercial B-19-R-P Summer On Peak $0.15274 $0.16074 Medium Commercial B-19-R-P Summer Part Peak $0.08377 $0.09177 Medium Commercial B-19-R-P Summer Off Peak $0.06401 $0.07201 Medium Commercial B-19-R-P Winter On Peak $0.08509 $0.09309 Medium Commercial B-19-R-P Winter Off Peak $0.06408 $0.07208 Medium Commercial B-19-R-P Winter Super Off Peak $0.04408 $0.05208 Medium Commercial B-19-R-T Summer On Peak $0.13627 $0.14427 Medium Commercial B-19-R-T Summer Part Peak $0.08890 $0.09690 Medium Commercial B-19-R-T Summer Off Peak $0.06440 $0.07240 Medium Commercial B-19-R-T Winter On Peak $0.08410 $0.09210 Medium Commercial B-19-R-T Winter Off Peak $0.06453 $0.07253 Medium Commercial B-19-R-T Winter Super Off Peak $0.04371 $0.05171 Medium Commercial B-19-S-S Summer On Peak $0.17354 $0.18154 Medium Commercial B-19-S-S Summer Part Peak $0.09475 $0.10275 Medium Commercial B-19-S-S Summer Off Peak $0.07237 $0.08037 Medium Commercial B-19-S-S Winter On Peak $0.09692 $0.10492 Medium Commercial B-19-S-S Winter Off Peak $0.07233 $0.08033 Medium Commercial B-19-S-S Winter Super Off Peak $0.05151 $0.05951 Medium Commercial B-19-S-P Summer On Peak $0.15550 $0.16350 Medium Commercial B-19-S-P Summer Part Peak $0.08370 $0.09170 Medium Commercial B-19-S-P Summer Off Peak $0.06313 $0.07113 Medium Commercial B-19-S-P Winter On Peak $0.08508 $0.09308 Medium Commercial B-19-S-P Winter Off Peak $0.06320 $0.07120 Medium Commercial B-19-S-P Winter Super Off Peak $0.04238 $0.05038 Medium Commercial B-19-S-T Summer On Peak $0.13627 $0.14427 Medium Commercial B-19-S-T Summer Part Peak $0.08890 $0.09690 Medium Commercial B-19-S-T Summer Off Peak $0.06440 $0.07240 Medium Commercial B-19-S-T Winter On Peak $0.08410 $0.09210 Medium Commercial B-19-S-T Winter Off Peak $0.06453 $0.07253

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Medium Commercial B-19-S-T Winter Super Off Peak $0.04371 $0.05171 Medium Commercial E-19-S Summer On Peak $0.12894 $0.13694 Medium Commercial E-19-S Summer Part Peak $0.12894 $0.13694 Medium Commercial E-19-S Summer Off Peak $0.12207 $0.13007 Medium Commercial E-19-S Winter Part Peak $0.11909 $0.12709 Medium Commercial E-19-S Winter Off Peak $0.11828 $0.12628 Medium Commercial E-19-P Summer On Peak $0.06007 $0.06807 Medium Commercial E-19-P Summer Part Peak $0.06007 $0.06807 Medium Commercial E-19-P Summer Off Peak $0.05662 $0.06462 Medium Commercial E-19-P Winter Part Peak $0.05514 $0.06314 Medium Commercial E-19-P Winter Off Peak $0.05473 $0.06273 Medium Commercial E-19-T Summer On Peak $0.05026 $0.05826 Medium Commercial E-19-T Summer Part Peak $0.05026 $0.05826 Medium Commercial E-19-T Summer Off Peak $0.04685 $0.05485 Medium Commercial E-19-T Winter Part Peak $0.04539 $0.05339 Medium Commercial E-19-T Winter Off Peak $0.04499 $0.05299 Medium Commercial E-19-R-S Summer On Peak $0.09975 $0.10775 Medium Commercial E-19-R-S Summer Part Peak $0.09975 $0.10775 Medium Commercial E-19-R-S Summer Off Peak $0.08127 $0.08927 Medium Commercial E-19-R-S Winter Part Peak $0.07982 $0.08782 Medium Commercial E-19-R-S Winter Off Peak $0.07943 $0.08743 Medium Commercial E-19-R-P Summer On Peak $0.08698 $0.09498 Medium Commercial E-19-R-P Summer Part Peak $0.08698 $0.09498 Medium Commercial E-19-R-P Summer Off Peak $0.07073 $0.07873 Medium Commercial E-19-R-P Winter Part Peak $0.06936 $0.07736 Medium Commercial E-19-R-P Winter Off Peak $0.06899 $0.07699 Medium Commercial E-19-R-T Summer On Peak $0.08382 $0.09182 Medium Commercial E-19-R-T Summer Part Peak $0.08382 $0.09182 Medium Commercial E-19-R-T Summer Off Peak $0.06891 $0.07691 Medium Commercial E-19-R-T Winter Part Peak $0.06750 $0.07550 Medium Commercial E-19-R-T Winter Off Peak $0.06711 $0.07511 Large Commercial TOU-8-SEC-D Summer On Peak $0.15521 $0.16321 Large Commercial TOU-8-SEC-D Summer Mid Peak $0.14153 $0.14953 Large Commercial TOU-8-SEC-D Summer Off Peak $0.09588 $0.10388 Large Commercial TOU-8-SEC-D Winter Mid Peak $0.11066 $0.11866 Large Commercial TOU-8-SEC-D Winter Off Peak $0.11136 $0.11936 Large Commercial TOU-8-SEC-D Winter Super Off Peak $0.05844 $0.06644 Large Commercial TOU-8-PRI-D Summer On Peak $0.14851 $0.15651 Large Commercial TOU-8-PRI-D Summer Mid Peak $0.13571 $0.14371 Large Commercial TOU-8-PRI-D Summer Off Peak $0.09175 $0.09975 Large Commercial TOU-8-PRI-D Winter Mid Peak $0.10612 $0.11412

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Large Commercial TOU-8-PRI-D Winter Off Peak $0.10701 $0.11501 Large Commercial TOU-8-PRI-D Winter Super Off Peak $0.05615 $0.06415 Large Commercial TOU-8-SUB-D Summer On Peak $0.15448 $0.16248 Large Commercial TOU-8-SUB-D Summer Mid Peak $0.14158 $0.14958 Large Commercial TOU-8-SUB-D Summer Off Peak $0.09517 $0.10317 Large Commercial TOU-8-SUB-D Winter Mid Peak $0.11017 $0.11817 Large Commercial TOU-8-SUB-D Winter Off Peak $0.11150 $0.11950 Large Commercial TOU-8-SUB-D Winter Super Off Peak $0.05847 $0.06647 Large Commercial TOU-8-SEC-E Summer On Peak $0.28187 $0.28987 Large Commercial TOU-8-SEC-E Summer Mid Peak $0.10734 $0.11534 Large Commercial TOU-8-SEC-E Summer Off Peak $0.08102 $0.08902 Large Commercial TOU-8-SEC-E Winter Mid Peak $0.12179 $0.12979 Large Commercial TOU-8-SEC-E Winter Off Peak $0.08994 $0.09794 Large Commercial TOU-8-SEC-E Winter Super Off Peak $0.05942 $0.06742 Large Commercial TOU-8-PRI-E Summer On Peak $0.33570 $0.34370 Large Commercial TOU-8-PRI-E Summer Mid Peak $0.10803 $0.11603 Large Commercial TOU-8-PRI-E Summer Off Peak $0.07304 $0.08104 Large Commercial TOU-8-PRI-E Winter Mid Peak $0.15438 $0.16238 Large Commercial TOU-8-PRI-E Winter Off Peak $0.08519 $0.09319 Large Commercial TOU-8-PRI-E Winter Super Off Peak $0.04470 $0.05270 Large Commercial TOU-8-SUB-E Summer On Peak $0.29016 $0.29816 Large Commercial TOU-8-SUB-E Summer Mid Peak $0.09634 $0.10434 Large Commercial TOU-8-SUB-E Summer Off Peak $0.07221 $0.08021 Large Commercial TOU-8-SUB-E Winter Mid Peak $0.12087 $0.12887 Large Commercial TOU-8-SUB-E Winter Off Peak $0.08070 $0.08870 Large Commercial TOU-8-SUB-E Winter Super Off Peak $0.05311 $0.06111 Large Commercial B-20-S Summer On Peak $0.21486 $0.22286 Large Commercial B-20-S Summer Part Peak $0.16652 $0.17452 Large Commercial B-20-S Summer Off Peak $0.12832 $0.13632 Large Commercial B-20-S Winter On Peak $0.18607 $0.19407 Large Commercial B-20-S Winter Off Peak $0.12802 $0.13602 Large Commercial B-20-S Winter Super Off Peak $0.05025 $0.05825 Large Commercial B-20-P Summer On Peak $0.18867 $0.19667 Large Commercial B-20-P Summer Part Peak $0.14197 $0.14997 Large Commercial B-20-P Summer Off Peak $0.10939 $0.11739 Large Commercial B-20-P Winter On Peak $0.15895 $0.16695 Large Commercial B-20-P Winter Off Peak $0.10947 $0.11747 Large Commercial B-20-P Winter Super Off Peak $0.03929 $0.04729 Large Commercial B-20-T Summer On Peak $0.14558 $0.15358 Large Commercial B-20-T Summer Part Peak $0.11931 $0.12731 Large Commercial B-20-T Summer Off Peak $0.08999 $0.09799

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Large Commercial B-20-T Winter On Peak $0.13852 $0.14652 Large Commercial B-20-T Winter Off Peak $0.08551 $0.09351 Large Commercial B-20-T Winter Super Off Peak $0.03256 $0.04056 Large Commercial B-20-R-S Summer On Peak $0.26983 $0.27783 Large Commercial B-20-R-S Summer Part Peak $0.14842 $0.15642 Large Commercial B-20-R-S Summer Off Peak $0.11415 $0.12215 Large Commercial B-20-R-S Winter On Peak $0.15403 $0.16203 Large Commercial B-20-R-S Winter Off Peak $0.11403 $0.12203 Large Commercial B-20-R-S Winter Super Off Peak $0.08134 $0.08934 Large Commercial B-20-R-P Summer On Peak $0.25747 $0.26547 Large Commercial B-20-R-P Summer Part Peak $0.13946 $0.14746 Large Commercial B-20-R-P Summer Off Peak $0.10770 $0.11570 Large Commercial B-20-R-P Winter On Peak $0.14442 $0.15242 Large Commercial B-20-R-P Winter Off Peak $0.10774 $0.11574 Large Commercial B-20-R-P Winter Super Off Peak $0.07501 $0.08301 Large Commercial B-20-R-T Summer On Peak $0.25594 $0.26394 Large Commercial B-20-R-T Summer Part Peak $0.14450 $0.15250 Large Commercial B-20-R-T Summer Off Peak $0.09729 $0.10529 Large Commercial B-20-R-T Winter On Peak $0.14435 $0.15235 Large Commercial B-20-R-T Winter Off Peak $0.09454 $0.10254 Large Commercial B-20-R-T Winter Super Off Peak $0.06373 $0.07173 Large Commercial B-20-S-S Summer On Peak $0.26983 $0.27783 Large Commercial B-20-S-S Summer Part Peak $0.14842 $0.15642 Large Commercial B-20-S-S Summer Off Peak $0.11415 $0.12215 Large Commercial B-20-S-S Winter On Peak $0.15403 $0.16203 Large Commercial B-20-S-S Winter Off Peak $0.11403 $0.12203 Large Commercial B-20-S-S Winter Super Off Peak $0.08134 $0.08934 Large Commercial B-20-S-P Summer On Peak $0.25747 $0.26547 Large Commercial B-20-S-P Summer Part Peak $0.13946 $0.14746 Large Commercial B-20-S-P Summer Off Peak $0.10770 $0.11570 Large Commercial B-20-S-P Winter On Peak $0.14442 $0.15242 Large Commercial B-20-S-P Winter Off Peak $0.10774 $0.11574 Large Commercial B-20-S-P Winter Super Off Peak $0.07501 $0.08301 Large Commercial B-20-S-T Summer On Peak $0.25594 $0.26394 Large Commercial B-20-S-T Summer Part Peak $0.14450 $0.15250 Large Commercial B-20-S-T Summer Off Peak $0.09729 $0.10529 Large Commercial B-20-S-T Winter On Peak $0.14435 $0.15235 Large Commercial B-20-S-T Winter Off Peak $0.09454 $0.10254 Large Commercial B-20-S-T Winter Super Off Peak $0.06373 $0.07173 Large Commercial E-20-S Summer On Peak $0.09906 $0.10706 Large Commercial E-20-S Summer Part Peak $0.09906 $0.10706

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Large Commercial E-20-S Summer Off Peak $0.09339 $0.10139 Large Commercial E-20-S Winter Part Peak $0.09091 $0.09891 Large Commercial E-20-S Winter Off Peak $0.09022 $0.09822 Large Commercial E-20-P Summer On Peak $0.12985 $0.13785 Large Commercial E-20-P Summer Part Peak $0.12985 $0.13785 Large Commercial E-20-P Summer Off Peak $0.12264 $0.13064 Large Commercial E-20-P Winter Part Peak $0.11953 $0.12753 Large Commercial E-20-P Winter Off Peak $0.11870 $0.12670 Large Commercial E-20-T Summer On Peak $0.12387 $0.13187 Large Commercial E-20-T Summer Part Peak $0.12387 $0.13187 Large Commercial E-20-T Summer Off Peak $0.11608 $0.12408 Large Commercial E-20-T Winter Part Peak $0.11274 $0.12074 Large Commercial E-20-T Winter Off Peak $0.11184 $0.11984 Large Commercial E-20-R-S Summer On Peak $0.15466 $0.16266 Large Commercial E-20-R-S Summer Part Peak $0.15466 $0.16266 Large Commercial E-20-R-S Summer Off Peak $0.12613 $0.13413 Large Commercial E-20-R-S Winter Part Peak $0.12370 $0.13170 Large Commercial E-20-R-S Winter Off Peak $0.12303 $0.13103 Large Commercial E-20-R-P Summer On Peak $0.14895 $0.15695 Large Commercial E-20-R-P Summer Part Peak $0.14895 $0.15695 Large Commercial E-20-R-P Summer Off Peak $0.11931 $0.12731 Large Commercial E-20-R-P Winter Part Peak $0.11699 $0.12499 Large Commercial E-20-R-P Winter Off Peak $0.11636 $0.12436 Large Commercial E-20-R-T Summer On Peak $0.14028 $0.14828 Large Commercial E-20-R-T Summer Part Peak $0.14028 $0.14828 Large Commercial E-20-R-T Summer Off Peak $0.11096 $0.11896 Large Commercial E-20-R-T Winter Part Peak $0.10867 $0.11667 Large Commercial E-20-R-T Winter Off Peak $0.10805 $0.11605 Sm & Med Agricultural TOU-PA-2-D-SEC Summer On Peak $0.18508 $0.19308 Sm & Med Agricultural TOU-PA-2-D-SEC Summer Mid Peak $0.16874 $0.17674 Sm & Med Agricultural TOU-PA-2-D-SEC Summer Off Peak $0.11167 $0.11967 Sm & Med Agricultural TOU-PA-2-D-SEC Winter Mid Peak $0.14494 $0.15294 Sm & Med Agricultural TOU-PA-2-D-SEC Winter Off Peak $0.11533 $0.12333 Sm & Med Agricultural TOU-PA-2-D-SEC Winter Super Off Peak $0.09850 $0.10650 Sm & Med Agricultural TOU-PA-2-D-PRI Summer On Peak $0.14053 $0.14853 Sm & Med Agricultural TOU-PA-2-D-PRI Summer Mid Peak $0.13071 $0.13871 Sm & Med Agricultural TOU-PA-2-D-PRI Summer Off Peak $0.09640 $0.10440 Sm & Med Agricultural TOU-PA-2-D-PRI Winter Mid Peak $0.11640 $0.12440 Sm & Med Agricultural TOU-PA-2-D-PRI Winter Off Peak $0.09860 $0.10660 Sm & Med Agricultural TOU-PA-2-D-PRI Winter Super Off Peak $0.08848 $0.09648 Sm & Med Agricultural TOU-PA-2-D-SUB Summer On Peak $0.13940 $0.14740

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Sm & Med Agricultural TOU-PA-2-D-SUB Summer Mid Peak $0.12958 $0.13758 Sm & Med Agricultural TOU-PA-2-D-SUB Summer Off Peak $0.09527 $0.10327 Sm & Med Agricultural TOU-PA-2-D-SUB Winter Mid Peak $0.11527 $0.12327 Sm & Med Agricultural TOU-PA-2-D-SUB Winter Off Peak $0.09747 $0.10547 Sm & Med Agricultural TOU-PA-2-D-SUB Winter Super Off Peak $0.08736 $0.09536 Sm & Med Agricultural TOU-PA-2-D5-SEC Summer On Peak $0.34539 $0.35339 Sm & Med Agricultural TOU-PA-2-D5-SEC Summer Mid Peak $0.32580 $0.33380 Sm & Med Agricultural TOU-PA-2-D5-SEC Summer Off Peak $0.09806 $0.10606 Sm & Med Agricultural TOU-PA-2-D5-SEC Winter Mid Peak $0.14276 $0.15076 Sm & Med Agricultural TOU-PA-2-D5-SEC Winter Off Peak $0.11360 $0.12160 Sm & Med Agricultural TOU-PA-2-D5-SEC Winter Super Off Peak $0.09701 $0.10501 Sm & Med Agricultural TOU-PA-2-D5-PRI Summer On Peak $0.25084 $0.25884 Sm & Med Agricultural TOU-PA-2-D5-PRI Summer Mid Peak $0.23827 $0.24627 Sm & Med Agricultural TOU-PA-2-D5-PRI Summer Off Peak $0.09214 $0.10014 Sm & Med Agricultural TOU-PA-2-D5-PRI Winter Mid Peak $0.12082 $0.12882 Sm & Med Agricultural TOU-PA-2-D5-PRI Winter Off Peak $0.10211 $0.11011 Sm & Med Agricultural TOU-PA-2-D5-PRI Winter Super Off Peak $0.09146 $0.09946 Sm & Med Agricultural TOU-PA-2-D5-SUB Summer On Peak $0.24967 $0.25767 Sm & Med Agricultural TOU-PA-2-D5-SUB Summer Mid Peak $0.23709 $0.24509 Sm & Med Agricultural TOU-PA-2-D5-SUB Summer Off Peak $0.09096 $0.09896 Sm & Med Agricultural TOU-PA-2-D5-SUB Winter Mid Peak $0.11964 $0.12764 Sm & Med Agricultural TOU-PA-2-D5-SUB Winter Off Peak $0.10093 $0.10893 Sm & Med Agricultural TOU-PA-2-D5-SUB Winter Super Off Peak $0.09029 $0.09829 Sm & Med Agricultural TOU-PA-2-E-SEC Summer On Peak $0.49948 $0.50748 Sm & Med Agricultural TOU-PA-2-E-SEC Summer Mid Peak $0.13531 $0.14331 Sm & Med Agricultural TOU-PA-2-E-SEC Summer Off Peak $0.08954 $0.09754 Sm & Med Agricultural TOU-PA-2-E-SEC Winter Mid Peak $0.13455 $0.14255 Sm & Med Agricultural TOU-PA-2-E-SEC Winter Off Peak $0.10708 $0.11508 Sm & Med Agricultural TOU-PA-2-E-SEC Winter Super Off Peak $0.09144 $0.09944 Sm & Med Agricultural TOU-PA-2-E-PRI Summer On Peak $0.40316 $0.41116 Sm & Med Agricultural TOU-PA-2-E-PRI Summer Mid Peak $0.13013 $0.13813 Sm & Med Agricultural TOU-PA-2-E-PRI Summer Off Peak $0.09582 $0.10382 Sm & Med Agricultural TOU-PA-2-E-PRI Winter Mid Peak $0.12957 $0.13757 Sm & Med Agricultural TOU-PA-2-E-PRI Winter Off Peak $0.10896 $0.11696 Sm & Med Agricultural TOU-PA-2-E-PRI Winter Super Off Peak $0.09724 $0.10524 Sm & Med Agricultural TOU-PA-2-E-SUB Summer On Peak $0.40133 $0.40933 Sm & Med Agricultural TOU-PA-2-E-SUB Summer Mid Peak $0.12830 $0.13630 Sm & Med Agricultural TOU-PA-2-E-SUB Summer Off Peak $0.09399 $0.10199 Sm & Med Agricultural TOU-PA-2-E-SUB Winter Mid Peak $0.12773 $0.13573 Sm & Med Agricultural TOU-PA-2-E-SUB Winter Off Peak $0.10713 $0.11513 Sm & Med Agricultural TOU-PA-2-E-SUB Winter Super Off Peak $0.09541 $0.10341

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Sm & Med Agricultural TOU-PA-2-E5-SEC Summer On Peak $0.83270 $0.84070 Sm & Med Agricultural TOU-PA-2-E5-SEC Summer Mid Peak $0.27936 $0.28736 Sm & Med Agricultural TOU-PA-2-E5-SEC Summer Off Peak $0.08408 $0.09208 Sm & Med Agricultural TOU-PA-2-E5-SEC Winter Mid Peak $0.13541 $0.14341 Sm & Med Agricultural TOU-PA-2-E5-SEC Winter Off Peak $0.10775 $0.11575 Sm & Med Agricultural TOU-PA-2-E5-SEC Winter Super Off Peak $0.09201 $0.10001 Sm & Med Agricultural TOU-PA-2-E5-PRI Summer On Peak $0.65183 $0.65983 Sm & Med Agricultural TOU-PA-2-E5-PRI Summer Mid Peak $0.23774 $0.24574 Sm & Med Agricultural TOU-PA-2-E5-PRI Summer Off Peak $0.09161 $0.09961 Sm & Med Agricultural TOU-PA-2-E5-PRI Winter Mid Peak $0.13002 $0.13802 Sm & Med Agricultural TOU-PA-2-E5-PRI Winter Off Peak $0.10932 $0.11732 Sm & Med Agricultural TOU-PA-2-E5-PRI Winter Super Off Peak $0.09754 $0.10554 Sm & Med Agricultural TOU-PA-2-E5-SUB Summer On Peak $0.65000 $0.65800 Sm & Med Agricultural TOU-PA-2-E5-SUB Summer Mid Peak $0.23591 $0.24391 Sm & Med Agricultural TOU-PA-2-E5-SUB Summer Off Peak $0.08978 $0.09778 Sm & Med Agricultural TOU-PA-2-E5-SUB Winter Mid Peak $0.12818 $0.13618 Sm & Med Agricultural TOU-PA-2-E5-SUB Winter Off Peak $0.10749 $0.11549 Sm & Med Agricultural TOU-PA-2-E5-SUB Winter Super Off Peak $0.09571 $0.10371 Sm & Med Agricultural AG-1-A Year Round $0.11327 $0.12127 Sm & Med Agricultural AG-1-B Year Round $0.13685 $0.14485 Sm & Med Agricultural AG-RA Summer On Peak $0.11951 $0.12751 Sm & Med Agricultural AG-RA Summer Off Peak $0.11951 $0.12751 Sm & Med Agricultural AG-RA Winter Part Peak $0.10386 $0.11186 Sm & Med Agricultural AG-RA Winter Off Peak $0.10319 $0.11119 Sm & Med Agricultural AG-RB Summer On Peak $0.10496 $0.11296 Sm & Med Agricultural AG-RB Summer Off Peak $0.10496 $0.11296 Sm & Med Agricultural AG-RB Winter Part Peak $0.09422 $0.10222 Sm & Med Agricultural AG-RB Winter Off Peak $0.09356 $0.10156 Sm & Med Agricultural AG-F-A Summer On Peak $0.21219 $0.22019 Sm & Med Agricultural AG-F-A Summer Off Peak $0.14169 $0.14969 Sm & Med Agricultural AG-F-A Winter On Peak $0.13237 $0.14037 Sm & Med Agricultural AG-F-A Winter Off Peak $0.10819 $0.11619 Sm & Med Agricultural AG-F-B Summer On Peak $0.23129 $0.23929 Sm & Med Agricultural AG-F-B Summer Off Peak $0.15672 $0.16472 Sm & Med Agricultural AG-F-B Winter On Peak $0.14567 $0.15367 Sm & Med Agricultural AG-F-B Winter Off Peak $0.12141 $0.12941 Large Agricultural AG-F-C Summer On Peak $0.18334 $0.19134 Large Agricultural AG-F-C Summer Off Peak $0.14550 $0.15350 Large Agricultural AG-F-C Winter On Peak $0.16516 $0.17316 Large Agricultural AG-F-C Winter Off Peak $0.13181 $0.13981 Sm & Med Agricultural AG-VA Summer On Peak $0.11520 $0.12320

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Sm & Med Agricultural AG-VA Summer Off Peak $0.11520 $0.12320 Sm & Med Agricultural AG-VA Winter Part Peak $0.10139 $0.10939 Sm & Med Agricultural AG-VA Winter Off Peak $0.10074 $0.10874 Sm & Med Agricultural AG-VB Summer On Peak $0.10491 $0.11291 Sm & Med Agricultural AG-VB Summer Off Peak $0.10491 $0.11291 Sm & Med Agricultural AG-VB Winter Part Peak $0.09331 $0.10131 Sm & Med Agricultural AG-VB Winter Off Peak $0.09265 $0.10065 Sm & Med Agricultural AG-4-A Summer On Peak $0.11700 $0.12500 Sm & Med Agricultural AG-4-A Summer Off Peak $0.11700 $0.12500 Sm & Med Agricultural AG-4-A Winter Part Peak $0.10404 $0.11204 Sm & Med Agricultural AG-4-A Winter Off Peak $0.10340 $0.11140 Sm & Med Agricultural AG-4-B Summer On Peak $0.12507 $0.13307 Sm & Med Agricultural AG-4-B Summer Off Peak $0.12507 $0.13307 Sm & Med Agricultural AG-4-B Winter Part Peak $0.11223 $0.12023 Sm & Med Agricultural AG-4-B Winter Off Peak $0.11160 $0.11960 Sm & Med Agricultural AG-5-A Summer On Peak $0.12551 $0.13351 Sm & Med Agricultural AG-5-A Summer Off Peak $0.12551 $0.13351 Sm & Med Agricultural AG-5-A Winter Part Peak $0.11424 $0.12224 Sm & Med Agricultural AG-5-A Winter Off Peak $0.11358 $0.12158 Sm & Med Agricultural AG-5-B Summer On Peak $0.12652 $0.13452 Sm & Med Agricultural AG-5-B Summer Off Peak $0.12652 $0.13452 Sm & Med Agricultural AG-5-B Winter Part Peak $0.11518 $0.12318 Sm & Med Agricultural AG-5-B Winter Off Peak $0.11456 $0.12256 Sm & Med Agricultural AG-A-1 Summer On Peak $0.24342 $0.25142 Sm & Med Agricultural AG-A-1 Summer Off Peak $0.13425 $0.14225 Sm & Med Agricultural AG-A-1 Winter On Peak $0.13123 $0.13923 Sm & Med Agricultural AG-A-1 Winter Off Peak $0.10710 $0.11510 Sm & Med Agricultural AG-A-2 Summer On Peak $0.24342 $0.25142 Sm & Med Agricultural AG-A-2 Summer Off Peak $0.13426 $0.14226 Sm & Med Agricultural AG-A-2 Winter On Peak $0.13123 $0.13923 Sm & Med Agricultural AG-A-2 Winter Off Peak $0.10710 $0.11510 Sm & Med Agricultural AG-B Summer On Peak $0.26083 $0.26883 Sm & Med Agricultural AG-B Summer Off Peak $0.14812 $0.15612 Sm & Med Agricultural AG-B Winter On Peak $0.14323 $0.15123 Sm & Med Agricultural AG-B Winter Off Peak $0.11924 $0.12724 Large Agricultural TOU-PA-3-D-SEC Summer On Peak $0.14340 $0.15140 Large Agricultural TOU-PA-3-D-SEC Summer Mid Peak $0.13082 $0.13882 Large Agricultural TOU-PA-3-D-SEC Summer Off Peak $0.08667 $0.09467 Large Agricultural TOU-PA-3-D-SEC Winter Mid Peak $0.11091 $0.11891 Large Agricultural TOU-PA-3-D-SEC Winter Off Peak $0.11162 $0.11962 Large Agricultural TOU-PA-3-D-SEC Winter Super Off Peak $0.05870 $0.06670

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Large Agricultural TOU-PA-3-D-PRI Summer On Peak $0.11703 $0.12503 Large Agricultural TOU-PA-3-D-PRI Summer Mid Peak $0.10881 $0.11681 Large Agricultural TOU-PA-3-D-PRI Summer Off Peak $0.07995 $0.08795 Large Agricultural TOU-PA-3-D-PRI Winter Mid Peak $0.09580 $0.10380 Large Agricultural TOU-PA-3-D-PRI Winter Off Peak $0.09626 $0.10426 Large Agricultural TOU-PA-3-D-PRI Winter Super Off Peak $0.06167 $0.06967 Large Agricultural TOU-PA-3-D-SUB Summer On Peak $0.11596 $0.12396 Large Agricultural TOU-PA-3-D-SUB Summer Mid Peak $0.10774 $0.11574 Large Agricultural TOU-PA-3-D-SUB Summer Off Peak $0.07888 $0.08688 Large Agricultural TOU-PA-3-D-SUB Winter Mid Peak $0.09473 $0.10273 Large Agricultural TOU-PA-3-D-SUB Winter Off Peak $0.09519 $0.10319 Large Agricultural TOU-PA-3-D-SUB Winter Super Off Peak $0.06060 $0.06860 Large Agricultural TOU-PA-3-D5-SEC Summer On Peak $0.20691 $0.21491 Large Agricultural TOU-PA-3-D5-SEC Summer Mid Peak $0.19655 $0.20455 Large Agricultural TOU-PA-3-D5-SEC Summer Off Peak $0.07749 $0.08549 Large Agricultural TOU-PA-3-D5-SEC Winter Mid Peak $0.09814 $0.10614 Large Agricultural TOU-PA-3-D5-SEC Winter Off Peak $0.09861 $0.10661 Large Agricultural TOU-PA-3-D5-SEC Winter Super Off Peak $0.06325 $0.07125 Large Agricultural TOU-PA-3-D5-PRI Summer On Peak $0.20600 $0.21400 Large Agricultural TOU-PA-3-D5-PRI Summer Mid Peak $0.19564 $0.20364 Large Agricultural TOU-PA-3-D5-PRI Summer Off Peak $0.07658 $0.08458 Large Agricultural TOU-PA-3-D5-PRI Winter Mid Peak $0.09723 $0.10523 Large Agricultural TOU-PA-3-D5-PRI Winter Off Peak $0.09771 $0.10571 Large Agricultural TOU-PA-3-D5-PRI Winter Super Off Peak $0.06234 $0.07034 Large Agricultural TOU-PA-3-D5-SUB Summer On Peak $0.20491 $0.21291 Large Agricultural TOU-PA-3-D5-SUB Summer Mid Peak $0.19455 $0.20255 Large Agricultural TOU-PA-3-D5-SUB Summer Off Peak $0.07549 $0.08349 Large Agricultural TOU-PA-3-D5-SUB Winter Mid Peak $0.09614 $0.10414 Large Agricultural TOU-PA-3-D5-SUB Winter Off Peak $0.09661 $0.10461 Large Agricultural TOU-PA-3-D5-SUB Winter Super Off Peak $0.06125 $0.06925 Large Agricultural TOU-PA-3-E-SEC Summer On Peak $0.41302 $0.42102 Large Agricultural TOU-PA-3-E-SEC Summer Mid Peak $0.11364 $0.12164 Large Agricultural TOU-PA-3-E-SEC Summer Off Peak $0.07529 $0.08329 Large Agricultural TOU-PA-3-E-SEC Winter Mid Peak $0.13758 $0.14558 Large Agricultural TOU-PA-3-E-SEC Winter Off Peak $0.10960 $0.11760 Large Agricultural TOU-PA-3-E-SEC Winter Super Off Peak $0.03990 $0.04790 Large Agricultural TOU-PA-3-E-PRI Summer On Peak $0.33360 $0.34160 Large Agricultural TOU-PA-3-E-PRI Summer Mid Peak $0.10833 $0.11633 Large Agricultural TOU-PA-3-E-PRI Summer Off Peak $0.07947 $0.08747 Large Agricultural TOU-PA-3-E-PRI Winter Mid Peak $0.12635 $0.13435 Large Agricultural TOU-PA-3-E-PRI Winter Off Peak $0.10528 $0.11328

3CE Customer Class Rate Schedule Time Period
Proposed
3CE Choice
Proposed
3CE Prime
Large Agricultural TOU-PA-3-E-PRI Winter Super Off Peak $0.05284 $0.06084 Large Agricultural TOU-PA-3-E-SUB Summer On Peak $0.33187 $0.33987 Large Agricultural TOU-PA-3-E-SUB Summer Mid Peak $0.10659 $0.11459 Large Agricultural TOU-PA-3-E-SUB Summer Off Peak $0.07774 $0.08574 Large Agricultural TOU-PA-3-E-SUB Winter Mid Peak $0.12461 $0.13261 Large Agricultural TOU-PA-3-E-SUB Winter Off Peak $0.10355 $0.11155 Large Agricultural TOU-PA-3-E-SUB Winter Super Off Peak $0.05110 $0.05910 Large Agricultural TOU-PA-3-E5-SEC Summer On Peak $0.53397 $0.54197 Large Agricultural TOU-PA-3-E5-SEC Summer Mid Peak $0.19655 $0.20455 Large Agricultural TOU-PA-3-E5-SEC Summer Off Peak $0.07749 $0.08549 Large Agricultural TOU-PA-3-E5-SEC Winter Mid Peak $0.13249 $0.14049 Large Agricultural TOU-PA-3-E5-SEC Winter Off Peak $0.11046 $0.11846 Large Agricultural TOU-PA-3-E5-SEC Winter Super Off Peak $0.05559 $0.06359 Large Agricultural TOU-PA-3-E5-PRI Summer On Peak $0.53259 $0.54059 Large Agricultural TOU-PA-3-E5-PRI Summer Mid Peak $0.19518 $0.20318 Large Agricultural TOU-PA-3-E5-PRI Summer Off Peak $0.07611 $0.08411 Large Agricultural TOU-PA-3-E5-PRI Winter Mid Peak $0.13112 $0.13912 Large Agricultural TOU-PA-3-E5-PRI Winter Off Peak $0.10909 $0.11709 Large Agricultural TOU-PA-3-E5-PRI Winter Super Off Peak $0.05422 $0.06222 Large Agricultural TOU-PA-3-E5-SUB Summer On Peak $0.53086 $0.53886 Large Agricultural TOU-PA-3-E5-SUB Summer Mid Peak $0.19344 $0.20144 Large Agricultural TOU-PA-3-E5-SUB Summer Off Peak $0.07438 $0.08238 Large Agricultural TOU-PA-3-E5-SUB Winter Mid Peak $0.12938 $0.13738 Large Agricultural TOU-PA-3-E5-SUB Winter Off Peak $0.10735 $0.11535 Large Agricultural TOU-PA-3-E5-SUB Winter Super Off Peak $0.05248 $0.06048 Large Agricultural AG-4-C Summer On Peak $0.09662 $0.10462 Large Agricultural AG-4-C Summer Part Peak $0.09662 $0.10462 Large Agricultural AG-4-C Summer Off Peak $0.08704 $0.09504 Large Agricultural AG-4-C Winter Part Peak $0.08483 $0.09283 Large Agricultural AG-4-C Winter Off Peak $0.08422 $0.09222 Large Agricultural AG-5-C Summer On Peak $0.10357 $0.11157 Large Agricultural AG-5-C Summer Part Peak $0.10357 $0.11157 Large Agricultural AG-5-C Summer Off Peak $0.09742 $0.10542 Large Agricultural AG-5-C Winter Part Peak $0.09479 $0.10279 Large Agricultural AG-5-C Winter Off Peak $0.09407 $0.10207 Large Agricultural AG-C Summer On Peak $0.16982 $0.17782 Large Agricultural AG-C Summer Off Peak $0.13336 $0.14136 Large Agricultural AG-C Winter On Peak $0.15171 $0.15971 Large Agricultural AG-C Winter Off Peak $0.12015 $0.12815 Business Electric Vehicles TOU-EV-7 Summer On Peak $0.36730 $0.37530 Business Electric Vehicles TOU-EV-7 Summer Mid Peak $0.13038 $0.13838