Operations Board of Directors
September 16, 2026
11:00 AM
Embassy Suites by Hilton
1441 Canyon Del Rey Blvd
Room Laguna D
Seaside, CA 93955
WRITTEN COMMENTS SUBMITTED AT THE MEETING: 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.
CONSENT AND NON-AGENDA PUBLIC COMMENT: 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.
WRITTEN COMMENTS PRIOR TO THE MEETING: If you choose not to attend the 3CE Joint Policy and Operations Board of Directors meeting but wish to make a comment on a specific agenda item, you may submit your comment as set out below.
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 Board Clerk 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. Policy or 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.
AGENDA MATERIALS: Members of the public may request and receive copies 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 20 Ryan Ranch Road, Suite 214, Monterey, CA 93940 during normal business hours and should also be available on the 3CE website located at:
https://3cenergy.org/meetings-agendas/
ACCESSIBILITY: Meetings are accessible to people with disabilities. Individuals who need special assistance or a disability-related modification or accommodation to participate in this meeting, or who have a disability and wish to request an alternative format for the meeting materials, should contact the Board Clerk at 831-901-3362 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 $500 (adjusted yearly) 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 in the preceding twelve (12) months.
Members of the Board who have received, and applicants, contractors or their agents who have made, campaign contributions totaling more than $500 (adjusted annually) 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 Board Clerk prior to the subject hearing or by verbal disclosure at the time of the hearing.
Welcome & Roll Call
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
1. Approve Operations Board meeting minutes of August 12, 2026
2. Update on 3CE’s FY 2025-26 Energy Programs
3. CPUC Regulatory Update
4. Financial Report for the period of October 1, 2025, through June 30, 2026
5. Adopt Resolution No. OB-2026-14 Authorizing the Operations Board Chair to Attest to the Veracity of 3CE’s 2025 Power Source Disclosure Annual Report
6. Adopt Resolution OB-2026-13 authorizing the use of insurance in place of a master bond for designated employees for whom a Bond is required or desired.
7. Adopt Resolution OB-2026-15 setting the regular meeting schedule of the Operations Board of Directors
8. Adopt Resolution No. OB-2026-17 authorizing the CEO to execute a Memorandum of Understanding (“MOU”) for the purpose of continued participation in Special District Risk Management Authority (“SDRMA”) Joint Powers Authority (“JPA”) Employee Benefits Program
9. Approve and authorize CEO to amend the agreement with Yellow Bus LLC, for Marketing & Communications Support Services
with an additional term of three years, through September 30, 2029, and an additional $2,172,750 for a total not-to-exceed amount of $4,571,250.
10. Approve and Authorize the CEO to Execute Amendment No. 2 to the Standard Services Agreement with Ascend Analytics, LLC, increasing the Not-to-Exceed amount by $415,553.33, for a total Not-to-Exceed of $1,755,266.66
REGULAR
11. CEO Report
a. Power Charge Indifference Adjustment Reform
b. Fourth Annual 3CPrime Certified Report To Be Released c. Aratina Solar+Storage Operational
d. 3CE's EV Launchpad Technical Assistance Program Planned October 1st
12. Support the Policy Board's adoption of the Fiscal Year 2026-27 Recommended Budget
13. Support the Policy Board's approval and authorization of the CEO to execute a Clean Energy Purchase Contract with California Community Choice Financing Authority and ancillary documents and agreements to effect prepay financing transaction
14. Adopt Resolution No. OB-2026-16 approving and authorizing the Chief Executive Officer to execute a Second Amendment to the Amended and Restated Power Purchase Agreement with SF Jasmine, LLC to extend the expected Commercial Operation Date by six months (from May 2027 to November 2027) and make related revisions, and any necessary ancillary documents, substantially in the form attached and subject to Counsel review and approval as to form, with no change to the previously Board approved not-to-exceed amount of $187,000,000.
Adjournment
Operations Board of Directors
Regular Meeting
August 12, 2026
10:30 A.M.
Central Coast Community Energy
20 Ryan Ranch Rd., Suite 214
Monterey, CA 93940
County of Santa Cruz
701 Ocean Street,
Fifth Floor Redwood Room
Santa Cruz, CA 95060
County of San Luis Obispo
Government Building
1055 Monterey St., D430
San Luis Obispo, CA 93408
City of Watsonville
City Hall
City Manager’s Office
275 Main Street, Suite 400
Watsonville, CA 95076
City of San Luis Obispo
City Hall
990 Palm Street, Council Chambers
San Luis Obispo, CA 93401
City of Morro Bay
City Hall
595 Harbor Street
Morro Bay, CA 93442
County of Santa Barbara
County Administration Building
105 East Anapamu Street,
BOS Conference Room, Fourth Floor
Santa Barbara, CA 93101
City of Santa Maria
City Hall
110 East Cook Street, Council Chambers
Santa Maria, CA 93454
City of Monterey
City Hall
580 Pacific Street
Monterey, CA 93940
County of San Benito
County Administrative Building
481 4th St., 1 Floor
Hollister, Ca 95023-3840
DRAFT MINUTES
The meeting was called to order at 10:39 am with 12 members attending from 10 locations and a quorum established.
Directors Present: Headquarters: Cortez, Hunter, Mendez County of Santa Barbara: Armas
County of San Benito: Colio-Warren
City of Hollister: Cortez
City of Morro Bay: Craig
City of Monterey: Hall
City of Soledad: Hunter
City of Goleta: Imhof
Item 1
2 City of Scotts Valley: LaGoe
City of Salinas: Mendez
County of San Luis Obispo: Pontes
County of Santa Cruz: Petersen
City of Santa Maria: Rowlands
City of Watsonville: Vides
City of Buellton: Wolfe
City of Atascadero: Vice Chair Lewis
Directors Absent: Bronson, De La Rosa, Lindberg, Chair Huffaker The Chair called for corrections or additions to the agenda. The Clerk advised there were no additions or corrections.
The Chair called for public comment on the Consent Calendar and items not listed on the agenda.
The following individual(s) addressed the Board:
Director Wolfe advised of the misspelling of his name and requested the minutes be corrected to include an “e” at the end of his last name. The Clerk advised the correction will be made.
The Chair closed the public comment period.
CONSENT CALENDAR
1. Approved Minutes of the Operations Board of Directors meeting of May 27, 2026.
2. Received Energy Programs Update.
3. Receive Regulatory Update.
4. Received Investment Performance Report for the period of October 1, 2025 through June 30, 2026.
5. Received Financial report for the period of October 1, 2025, through May 31, 2026.
6. Approved and authorized the CEO to: Amend the agreement with Boone Printing and Graphics, Inc. for printing and mailing services for an additional term of four years, through September 30, 2030, and $565,496, for a total not to exceed amount of $929,308.
7. Approved the CEO to negotiate termination of the Concentric Energy Storage Agreements for the Bodega, Rava Mesa, and Green Valley Projects; and authorized the Chief Executive Officer, or Designee, to negotiate, execute, and deliver Termination Agreements and all other documents necessary and appropriate to effectuate and close out the Agreements on terms the CEO determines to be in the best Interest of 3CE, subject to General Counsel review and approval as to form Approved and authorized the CEO to execute a Fourth Amendment to the Energy Storage Agreement with GEM ACAES, LLC, that revises the insurance requirements to accommodate an Owner-Controlled Insurance Program.
3 8. Approved and authorized the CEO to execute a Fourth Amendment to the Energy Storage Agreement with GEM A-CAES, LLC, that revises the insurance requirements to accommodate an Owner-Controlled Insurance Program.
9. Approved and authorized the CEO to execute a contract with NewGen Strategies and Solutions, LLC for a Load Analysis Tool in the amount of $72,710 for a term of five years.
MOTION: Moved by Director Mendez, Seconded by Director Hunter to approve the Consent Calendar.
ACTION: The Motion Carried with a roll call vote: 14/1/4 AYES: Colio-Warren, Cortez, Craig, Hall, Hunter, Imhof, LaGoe, Mendez, Petersen, Pontes, Rowlands, Vides, Wolfe, Vice Chair Lewis
ABSTAIN: Armas
NOES: None
ABSENT: Bronson, De La Rosa, Lindberg, Chair Huffaker
REGULAR AGENDA
10. Received CEO Report
a. 2026 Annual Meeting - September 16-17
b. Risk Management and Energy Risk Policy Training
c. 3CE Compliance Filings
d. Community Advisory Council Recruitment
e. Community Workshops for Virtual Power Plant Program
f. Aratina 1 Begins Delivering Clean Energy to 3CE Customers g. 3CE Achieves Biomat Management Approval
h. Bill Relief Through Issuance of Bi-annual California Climate Credit i. Proposed Department of Energy Solutions
The Chair opened the public comment period.
There was no public comment.
The Chair closed the public comment period.
4 ACTION: Report received; No Action Required.
11. Approved and authorized CEO to execute agreement with Maiven Energy for Single Family Virtual Home Assessments, in an amount not to exceed $303,235 with a term ending December 31, 2028.
The Chair opened the public comment period.
There was no public comment.
The Chair closed the public comment period.
MOTION: Moved by Director Armas, Seconded by Director LaGoe to approve staff recommendations.
ACTION: The Motion Carried with a roll call vote: 15/1/4 AYES: Armas, Colio-Warren, Cortez, Craig, Hall, Hunter, Imhof, LaGoe, Mendez, Petersen, Pontes, Vides, Wolfe, Vice Chair Lewis
NOES: Rowlands
ABSENT: Bronson, De La Rosa, Lindberg, Chair Huffaker
12. Public Hearing and update on 3CE Vacancies, Recruitment and Retention Efforts, pursuant to Government Code Section 3502.3
Public hearing held and presentation received on 3CE Vacancies report. SEIU was not present.
Board of Director members commented on the report.
The Chair opened the public comment period.
There was no public comment.
The Chair closed the public comment period.
ACTION: Received update. No action required.
13. Adopted Resolution No. OB-2026-12 approving and authorizing the CEO to execute a. a renewable power purchase agreements ("PPA") with SunZia Wind North LLC; and b. a renewable PPA with SunZia Wind South LLC for a total capacity of 50 MW, a total term of 15 years, and a total Not-to-Exceed of $240,000,000.
The Chair opened the public comment period.
There was no public comment.
The Chair closed the public comment period.
MOTION: Moved by Director Mendez, Seconded by Director Hunter to approve staff
5 recommendations.
ACTION: The Motion Carried with a roll call vote: 15/0/4 AYES: Armas, Colio-Warren, Cortez, Craig, Hall, Hunter, Imhof, LaGoe, Mendez, Petersen, Pontes, Rowlands, Vides, Wolfe, Vice Chair Lewis
NOES: None
ABSENT: Bronson, De La Rosa, Lindberg, Chair Huffaker
Adjourned at 11:43 AM
_________________________
Chair
________________________
Clerk
Date: ______________
Staff Report Item 2
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Inaara Muhammad, Manager of Energy Programs SUBJECT: Update on 3CE’s FY 2025-26 Energy Programs
DATE: September 16, 2026
RECOMMENDATION:
This report recommends that the Operations Board receive an update on 3CE’s FY 2025-26 Energy Programs.
BACKGROUND:
3CE’s Energy Programs support 3CE’s mission by serving the Central Coast community with incentives to engage in electrification initiatives, strengthen the local economy, and reduce greenhouse gas emissions. The agency’s energy programs portfolio has undergone several iterations to improve community-wide accessibility and strengthen participation for priority communities. Currently, 3CE offers 10 programs and two pilots to support residential, commercial, and public agency electrification efforts in the transportation, building, and agricultural sectors.
DISCUSSION/ANALYSIS:
As part of 3CE’s commitment to customers, 3CE staff continually evaluate Energy Programs’ performance by tracking several key indicators and using this analysis to improve the impact of 3CE’s Energy Programs.
The table below highlights the agency’s programs’ fiscal year impact through August 2026.
IMPACT FY 2025-26 (to date)
GHG reductions1 Over 6,300 mt CO2e
Load Shifted Over 10 MWh daily
Heat Pump Water Heater & HVAC Units 1,189 units
Induction Cooktops 32 units
All-Electric New Construction 204 units
E-Buses 17 E-buses
Electric Vehicles 1,176 EVs
EV Chargers 1,068 EV Chargers
Ag Equipment 16 rebates
Total Incentives Distributed $16.6 million
Table 1: Energy Programs Impact in FY 2025-26 (through August 2026) 3CE’s Energy Programs Portfolio Analysis Update (Attachment 1) provides a detailed look at individual Energy Programs in FY 2025-26. The update shares a variety of program performance metrics, including customer participation, all-electric purchases and installations, reduced greenhouse gas emissions, and performance on equity (e.g., incentives and support for income-qualified customers). The update also describes strategic initiatives currently underway to enhance 3CE’s Energy Programs portfolio through pilots and new program offerings.
Below are several ongoing strategic initiatives across Energy Programs’ focus areas.
Transportation Electrification
Electrify Your Ride (EYR): 3CE is actively developing 3CE’s EV Launchpad Technical Assistance Program, which is planned to launch October 1st. On August 19th, 3CE hosted a webinar for Member Agencies introducing the upcoming program. The webinar outlined enhanced support available to help agencies plan and implement transportation-electrification projects. Additional webinars are scheduled for September 9 th and 10th for special districts, commercial customers, and multifamily property owners to highlight technical assistance available through the program.
Building Electrification
Electrify Your Home: 3CE is exploring partnership opportunities with the state-administered GoGreen Financing program to help make electrification options more affordable for customers. Staff are inviting contractors who have successfully completed projects through EYH to be added to a Contractor Resource List, which will include
1 Does not currently include estimated GHG reductions through 3CE’s Residential Battery Rebate Program.
the contractor’s name, website, languages they offer services in, counties they serve, and if they offer low-interest GoGreen Financing. Additional collaboration opportunities are being actively explored.
Agricultural Electrification
Ag Electrification Program: 3CE is actively developing an enhanced Ag Electrification Program with the Community Advisory Council (CAC). In June, staff presented stakeholder feedback gathered in the spring to the CAC and recommended improved program elements based on customer input. Recommended new offerings include additional rebates, technical assistance, and equipment demonstration events. Staff are working through program design details for the new offerings in anticipation of an October 1, 2026, launch date.
Energy Optimization
Virtual Power Plant (VPP): On August 17th and 20th, 3CE staff hosted two feedback sessions to inform development of 3CE’s upcoming Virtual Power Plant Program. The sessions engaged contractors and interested customers to gather input ahead of the program’s anticipated launch in October 2026. The program will begin with piloting battery enrollment and offer customers with qualifying residential battery systems pay-for-performance incentives to shift load and support grid reliability.
The fourth quarter of 3CE’s fiscal year has continued to show increased energy program participation.
Staff are forecasting full utilization of the Energy Programs budget for the second consecutive year and are proactively communicating to customers when programs reach 75% of their allocated budget, inclusive of spend anticipated by the application queue. Communication tactics include posting on 3CE’s website, notifying contractors/stakeholders, and removing the application link when the program reaches its budget limit. Staff have also been working to integrate customer communication capabilities into the agency’s Customer Relationship Management (CRM) system. With rebate status inquiries representing a significant portion of customer support interactions, the improvements will allow for automated application status update emails designed to help meet the needs of customers efficiently and effectively.
FISCAL IMPACT
There is no fiscal impact associated with this report and update.
CONCLUSION:
3CE’s Energy Programs support California’s Central Coast communities by providing funding and services to accelerate regional electrification, reduce greenhouse gas emissions, and benefit customers and local economies.
ATTACHMENT(S):
1. 3CE Energy Programs Analysis Update
3CE’s Energy Programs Update
This report provides updates on Central Coast Community Energy’s (3CE) Energy Programs and Pilots. 3CE continually tracks energy programs’ growing participation and impact in reducing greenhouse gas emissions and supporting the local economies in which 3CE customers live and work.
The table below highlights the agency’s programs’ impact through August 2026.
IMPACT FY 2025-26 (to date)
GHG reductions1 Over 6,300 mt CO2e
Load Shifted Over 10 MWh daily
Heat Pump Water Heater & HVAC Units 1,189 units
Induction Cooktops 32 units
All-Electric New Construction 204 units
E-Buses 17 E-buses
Electric Vehicles 1,176 EVs
EV Chargers 1,068 EV Chargers
Ag Equipment 16 rebates
Total Incentives Distributed2 $16.6 million
3CE’s energy programs’ impact continues to increase, serving 3CE’s mission to support all customers in their transition to renewable resources, to drive GHG emissions reductions, and to promote local economic growth across the Central Coast. 1 Does not currently include estimated GHG reductions through 3CE’s Residential Battery Rebate Program. 2 Does not include applications actively being processed; Includes additional incentive dollars in excess of budget approved by Policy Board for 3CE’s Residential Battery Rebate Program
Transportation Electrification
1.Electrify Your Ride
Over 4,990 mtCO2e avoided thus far
Equal to 1,164 gas cars off the road for one year
Program Purpose & Overview
Electrify Your Ride (EYR) is 3CE’s flagship transportation program, intended to reduce GHG emissions and increase EV adoption by providing residential and commercial customers with rebates for EV purchases and EV charger installations. Program funds are available first come, first served. Enhanced incentives are available for CARE/FERA customers, or income-qualified participants. Technical assistance is available for multifamily and commercial customers planning EV charging projects.
$4.5mil distributed in FY 2025-26
Program Design Updates
January 1, 2026: To maximize programs’ accessibility for all customers and to continue program administration through the end of the fiscal year, 3CE adjusted rebates. 3CE also introduced a new rebate type for bidirectional chargers to help customers power their homes and shift energy use to less expensive times of the day by drawing power from their electric vehicle’s battery.
July 2026: The program was paused on July 6th in response to 100% budget distributed or applied for. 3CE followed procedures to evaluate budget and reopened the program to new applications. 3CE incentives enabled over $57.8M in
purchases and installations
3240 EVs, EV Chargers and Electrical
Upgrades supported this fiscal year
Figure 1.1: Rebates approved by incentive type
2086 applications approved with 23% of incentives
going to income-qualified customers
Figure 1.2: Incentive distribution to income-qualified customers EYR supported installations for over 250
local contractors across all five counties
Transportation Electrification
76% of buses to a Title 1 school or
disadvantaged community (DAC)
Figure 2.1: % buses for DAC/Title 1 School, by county
2.Electric Bus (E-bus) Program
Over 400 mtCO2e
Program Purpose & Overview
3CE’s Electric Bus program enables public sector electrification by incentivizing all-electric buses throughout the 3CE service area. The program reduces GHG emissions and harmful pollutants from public transportation serving students, farmworkers, and community members. Program funds are available first come, first served, and can be assigned to a manufacturer. All funded E-buses must be domiciled and charged at 3CE-enrolled sites.
$1.6mil distributed out of $1.4mil budget
Program Design Updates:
January 1st, 2026: To maximize programs’ accessibility to all customers and to continue program administration through the end of the fiscal year, rebates have been adjusted to support two tiers of e-bus types.
August 31st, 2026: 100% of E-Bus Program rebates have been distributed for FY 2025-26. Staff have processing all remaining approved applications, and the program is closed to new applications for the remainder of the fiscal year. Completed applications will be placed on a waiting list until funding becomes available in FY 2026-27.
9 1
7 0
2 4
6 8
10 Transit bus Shuttle
Van/Type A
School Bus -
Type C/D
4 school districts & 3 transit agencies
supported across five counties
17 all electric buses supported
$29M in all-electric
purchases enabled through
3CE’s E-Bus program
Figure 2.2: Rebates approved by e-bus type
Transportation Electrification
3. Plan, Charge, and Electrify Your Fleet
16 Member Agencies committed to zero-emission fleet planning and implementation
Program Purpose & Overview
3CE’s Fleet Electrification programs reduce GHG emissions from medium and heavy-duty fleets by providing Member Agencies with incentives and technical assistance for zero-emission fleet planning and implementation at 3CE-enrolled sites. Program funds are available first come, first served.
Incentive Offerings:
- PLAN: Plan Your Fleet (PYF) provides no-cost technical assistance including fleet replacement planning, project design and engineering, EV charging recommendations, and funding plans.
- CHARGE: Charge Your Fleet (CYF) provides rebates for Level 2 EV Chargers and Level 3 DC Fast Chargers purchase and installation.
- ELECTRIFY: Electrify Your Fleet (EYF) provides rebates for electric vehicle purchase or lease, covering light, medium, and heavy-duty vehicles, plus electric motorcycles. $254k distributed out of $2.1mil budget
Program Design Updates
Oct. 1st, 2025: To streamline access and expand funding opportunities, 3CE has combined fiscal-year rebate caps for the Electrify Your Fleet and Charge Your Fleet programs. Member Agencies are eligible for up to $300k in total funding for the purchase or installation of electric vehicles, EV supply equipment, and associated infrastructure.
May 27, 2026: 3CE’s Operations Board approved a contract with Optony for comprehensive electric vehicle planning and EV charger development technical assistance for nonresidential customers, planned to launch in October 2026.
Over $2.1M
in all-electric purchases and
installations supported
Figure 3.1: rebates distributed by incentive type 8 cities and counties
Developing Fleet
Replacement
Plans
10 cities and
counties
Developing charging
infrastructure plans
and/or site designs
Cities and Counties engaged in zero-emission fleet
planning and implementation include…
Transportation Electrification
3.EV Charger Asset Pilot
Nine Level 2 and two DC Fast Chargers planned across three pilot sites Program Purpose & Overview
3CE’s EV Charger Asset Pilot addresses the need for additional Electric Vehicle Supply Equipment (EVSE) and infrastructure across the 3CE service area through the deployment of a phased EV Charger asset ownership program. The pilot examines charger asset ownership as a potential step in advancing equitable transportation electrification solutions across 3CE’s service area. The pilot encompasses Level 2 and Level 3 DC Fast Charger design, construction, and operation across three categories: community resilience hubs, corridor charging, and EVSE at Member Agency sites.
$423k spent out of $700k budget
Pilot Updates
Workplace Charging at 3CE’s San Luis Obispo Office: fully operational and active as of September 2025.
Workplace Charging at 3CE’s Soquel Office: fully operational and active as of November 2025.
Public Charging in Santa Maria: On October 21, the Santa Maria City Council approved the Site Lease License Agreement for 3CE’s Public EV Charger Asset Pilot. The project officially kicked off on December 10 and is progressing through construction and implementation activities.
Located near the Santa Maria Public Library, the site includes Level 2 and DC Fast Charging infrastructure to expand public charging access within the region. Construction coordination, utility engagement, and permitting activities are ongoing, with completion anticipated by Q2 FY 2026–27.
Future Pilot Sites: 3CE staff are exploring additional pilot locations for EV charging in consideration of designing and implementing an EV Charging Master Plan. Additional sites will further inform 3CE’s examination of agency-managed infrastructure to expand access to EV charging throughout the Central Coast.
10 ports across
6 Level 2 chargers
98%
total charger
uptime
14.5 t GHG
emissions avoided
Equivalent to planting
375 trees
50% increase
in staff EV
adoption
Building Electrification
4.Electrify Your Home Program
Over 816 mt CO2e avoided, equal to over
110 homes’ energy use for one year
Program Purpose & Overview
3CE's Electrify Your Home Program (EYH) promotes residential building decarbonization by replacing fossil-fuel powered water heating, space heating and cooking equipment with high-efficiency electric and heat pump appliances for single family and multifamily properties.
Applications are open to contractors and homeowners with program funds available on a first come, first served basis.
$1.8mil distributed out of $2.5mil budget
Program Design Updates
October 1, 2025: The program’s next iteration relaunched in-house, and includes design enhancements developed in collaboration with the Community Advisory Council. These included expanded contractor eligibility, new eligible appliances, and a customer-focused application.
Moreover, bringing program administration in-house will leverage 3CE staff expertise to improve customer experience and streamline program operations
Figure 5.2: Income-qualified participants by county
62% of rebates distributed to income-qualified customers 1411 rebates in fiscal year 2025-26
Figure 5.1: Rebates approved by incentive type
EYH supported over 67 unique, local installers across five counties to complete over $7.5M in all-electric and heat pump installations
Building Electrification
5.New Construction Electrification Program
205 new, all-electric housing units built across 3CE’s service area Program Purpose & Overview
3CE’s New Construction Electrification Program (NCEP) reduces GHG emissions by incentivizing the development of all-electric housing in 3CE’s service area. NCEP provides housing developers incentives to build all-electric housing projects including water heating, space heating, and cooking appliances. Enhanced incentives are available for affordable housing projects and single-family disaster rebuilds. Program funds are available first come, first served. $586k distributed out of $1.2mil budget
13 2 1
NCEP supported 7 local contractors to build all-electric housing across 3CE’s service area 189
All-electric Affordable
Housing Units
Accessory Dwelling
Units
Market Rate Housing Disaster Rebuild
Building Electrification
6.Reach Codes Program
Codes adopted by 3CE’s cities & counties are
anticipated to impact 310 permits per year
Program Purpose & Overview
3CE’s Reach Code program reduces GHG emissions from the built environment by providing technical assistance to 3CE Member Agency jurisdictions to adopt and codify “Reach Codes” that promote building electrification and EV infrastructure. Technical assistance includes customized code language development, staff presentations, board advocacy, and code enforcement tool creation. Implemented reach codes update local building codes and ordinances for new residential and commercial construction, and major remodel projects, and align with the 2022 California statewide building code update.
$55k distributed out of $100k budget
Program Design Updates
3CE is closely monitoring impacts from recent legislative decisions and exploring available support pathways. Cost effectiveness studies for new reach code opportunities were released in June 2026.
CODE TYPE & IMPACT
Single Family Existing Buildings- Flexpath:
Flexible menu of energy efficiency,
electrification, and electric readiness measures
for major renovations
Single Family Existing Buildings- Air
Conditioning to Heat Pump:
Property owners follow energy efficiency
measures or install heat pump technology at
time of replacement
New Construction- Energy Performance:
Property owners follow energy efficiency
measures during construction
Cities and Counties engaged in reach code
planning and implementation include…
5 Reach Codes in process,
adopted or codified across 3
cities
Figure 7.2: Types of Reach Codes pursued
Figure 7.1: # of codes by city
Ag Electrification
7.Agricultural (Ag) Electrification Program
Over 94 mtCO2 avoided thus far
Program Purpose & Overview
3CE’s Agricultural (Ag) Electrification program avoids GHG emissions associated with fossil fuel-powered agricultural equipment by incentivizing the purchase of all-electric equipment alternatives. The program provides rebates to 3CE customers in and/or supporting the agricultural industry for all-electric equipment purchases to support business operations. Enhanced incentives are available for small businesses and businesses that experienced loss/damage of equipment due to declared natural disasters. Customers are eligible for up to two rebates per fiscal year, and program funds are available first-come, first-served.
$321k distributed out of $800k budget
Program Design Updates
As part of its review of the Agricultural Electrification Program, 3CE staff hosted 13 focus groups & presentation in Winter of 2025 and Spring of 2026. Agricultural stakeholders from across the service area shared feedback on barriers to electrification and identified opportunities for additional support, including enhanced rebates, technical assistance, and demonstration days.
With input from the Community Advisory County, final program elements are being determined before the October 1st, 2026, launch date.
94%
of rebates to small businesses
3CE incentives enabled over $1.37M across 16 all-electric purchases including… Participation across 5 Counties
Figure 8.1: % of projects funded, by county
Energy Optimization
8. Residential Battery Rebate Program
Over 10 MWh of load shifted daily
during peak hours across 3CE service area
Program Purpose & Overview
3CE’s Residential Battery Rebate Program achieves load shifting during peak hours through rebates for the purchase and installation of residential, behind-the-meter battery systems. The program helps solar and non-solar customers manage energy consumption, respond to price signals, and reduce demand during net peak hours. Program funds are available first-come, first-served.
Customers enrolled in NEM 2.0 who elect to transition to NBT early, CARE/FERA-enrolled customers, and customers designated as medical baseline are eligible for enhanced incentives.
Batteries must be programmed to discharge 50% of capacity daily between 4 p.m. and 9 p.m. $5.5mil distributed out of $7.2mil total budget
Program Design Updates
April 20, 2026: The Policy Board voted to close the program to new applications and allocate $3.7 million to pay applicants who had received their Permission to Operate (PTO) letter and applied to the program prior to March 18. 3CE is currently developing a Virtual Power Plant (VPP) for interested customers, anticipated to launch in October 2026.
Figure 9.1: daily load shift during peak hours
772 applications across all five counties
17% of applications from CARE/FERA or
Medical Baseline enrolled customers
229 customers signed up for VPP Mailing
List for new program
Over 65 local
contractors actively
installing battery systems
for 3CE customers
90 2354
10111
0 2000
4000
6000
8000
10000
12000
kWh of load shifted daily (4
2024- Oct 2025- Oct 2026- Aug
-9PM)
Month
Energy Optimization
9.Hourly Flex Pricing Pilot 1 & 2
Over 17,300 MWh annual load enrolled
Program Purpose & Overview
3CE’s Hourly Flex Pricing (HFP) Pilot offers customer savings and operational benefits to agricultural, residential, and commercial 3CE customers through real-time, dynamic price signals.
In partnership with PG&E, both Pilot 1 (agricultural) and Pilot 2 (commercial and residential) offer a variety of Automation Service Providers (ASPs) to help enrolled customers optimize load in response to hourly price signals. Expanded Pilot 1, implemented in partnership with Yield Energy Services, also includes system reliability benefits for agricultural customers through incentivized equipment automation. HFP Pilots 1 and 2 are currently in their second year of implementation. 74% of annual load enrolled from
commercial meters
Figure 10.1: load enrolled by customer type
86 meters across all three customer
classes
Figure 10.2: pilot participation by customer type
Staff Report Item 3
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Jerri Gilles, Director of Regulatory Affairs and Compliance SUBJECT: CPUC Regulatory Update
DATE: September 16, 2026
RECOMMENDATION:
This recommends the Operations Board receive the attached CPUC Regulatory Update.
DISCUSSION/ANALYSIS:
Please find attached 3CE’s Regulatory Update, providing the latest information on the following:
Resource Adequacy (RA)
Disconnections
New Power Charge Indifference Adjustment (PCIA) Rulemaking Integrated Resource Planning (IRP)
Renewable Portfolio Standards (RPS)
PG&E Rule 30 Application for Transmission Service
Improvements to Climate Credit
Integrated Energy Policy Report (IEPR)
California Advanced Electric Rate Design
Order Instituting Rulemaking (OIR) to Expand Load Management Standards PG&E Billing Modernization Initiative
Energy Resource Recovery Account Forecast
FISCAL IMPACT:
No financial impact by receiving this report.
CONCLUSION:
This is an informational item only.
ATTACHMENT(S):
CPUC Regulatory Update
1 Regulatory Operations Update
September 16, 2026
2 Table of Contents
Resource Adequacy (RA)................................................................................................................................................................. 3 Disconnections..................................................................................................................................................................................... 3 New Power Charge Indifference Adjustment (PCIA) Rulemaking................................................................................. 4 Integrated Resource Planning (IRP)........................................................................................................................................... 5 Renewables Portfolio Standard (RPS)....................................................................................................................................... 5 PG&E Rule 30 Application for Transmission Service .......................................................................................................... 6 Improvements to the Climate Credit.......................................................................................................................................... 7 Integrated Energy Policy Report (IEPR)................................................................................................................................... 7 California Advanced Electric Rate Design ................................................................................................................................ 8 OIR to Improve Implementation and Expand Participation Under the Load Management Standards .......... 9 PG&E Billing Modernization Initiative....................................................................................................................................... 9 Energy Resources Recovery Account (ERRA) Forecast....................................................................................................10
3 REGULATORY UPDATE
Resource Adequacy (RA) - R.25-10-003
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. The current proceeding will address the 2027- 2029 RA compliance years and consider further refinements to the slice-of-day (SOD) framework. Under the new framework, 3CE’s RA obligations shifted from meeting a single monthly peak to now demonstrating sufficient capacity across 24 individual hourly slices. Advocacy in the RA proceeding remains a top priority for 3CE, ensuring the grid maintains reliability without increasing costs for customers.
Status
On August 13, 3CE attended the CPUC Energy Division’s 2027 RA Workshop to review policy and implementation changes, receive guidance on RA showing templates, and provide feedback on the load forecast and allocation process. During the workshop, CCAs raised issues regarding LSE RA showing templates and the new counting methodology implemented by a recent Track 1 decision. The modification was intended to accommodate Long-Duration Energy Storage (LDES), however, the updates to the LSE showing templates caused LDES resources shown at full capacity to fail the CPUC’s test for counting resources toward RA. The Energy Division acknowledged the template error and stated that LSEs showing a LDES resource in 2027 would not be deemed out of compliance due to this issue.
On August 14, with support from 3CE, CalCCA filed its draft Loss of Load Expectation (LOLE) study and PRM proposal, for consideration in Track 2 of the proceeding. LOLE studies provide a test to determine the amount of resources needed to achieve reliability targets and to set the Planning Reserve Margin (PRM), which is an additional procurement obligation placed on top of LSEs’ RA requirement. CalCCA’s LOLE study demonstrates an alternative modeling approach for achieving grid reliability targets in the most cost-effective manner. 3CE is working with CalCCA to develop additional proposals to improve the RA program, which will be submitted later this fall.
Next Steps
With a Track 2 Proposed Decision not expected until June 2027, 3CE will continue focusing on LOLE studies, PRM adjustments, and broader proposals to improve the RA program. In addition to actively participating in the CPUC proceeding, 3CE will file important year ahead RA showings to both the CPUC and CAISO on October 30, demonstrating its compliance in procuring its RA obligations for 2027.
Disconnections– R. 18-07-005
Issue
The CPUC opened the Disconnections proceeding in 2018 pursuant SB 598 to address rising disconnection rates across California’s electric and gas investor-owned utilities (IOUs) by adopting policies and rules that reduce disconnections and improve reconnection processes and outcomes for disconnected customers. Phase 1 of the proceeding adopted rules to reduce residential customer disconnections and implemented pilot programs that help eligible low-income customers pay down utility bill debt. The Arrearage Management Plan (AMP) and the Percentage of Income Payment Plans, available to eligible 3CE residential customers, were originally set to run until October 2026 and February 2027, respectively. Phase 2, which began in July 2022, seeks to consider additional solutions for reducing disconnection rates, implement SB 1142, which mandates utilities restore
4 service to disconnected customers who agree to enroll in a payment plan, and considers disconnection protections for customers under extreme weather conditions. Because CCAs rely on IOU billing and collection systems, these rules directly govern how arrearages, payment plans, and disconnection protections are administered for 3CE’s residential and small business customers.
Status
On July 20, CalCCA filed comments in support of a CPUC Proposed Decision (PD) extending the AMP sunset date to February 1, 2027. The payment plan provided assistance to customers struggling to pay down their arrearages. 3CE supported CalCCA’s filing, as extending the pilot to February of 2027 aligns its sunset date with the culmination of the PIPP program, providing a simple solution with little administrative burden. The extension provides the CPUC time to evaluate making the pilots permanent while avoiding customer disruption and confusion of a temporary lapse of the program.
Next Steps
3CE will continue tracking proposals related to potential changes to the disconnection caps, upcoming program sunsets, and possible “circuit breaker” safeguards to prevent rapid increases in shutoffs. The Commission is expected to release a Proposed Decision on phase 2 issues by the end of this year, which will conclude the proceeding.
New Power Charge Indifference Adjustment (PCIA) Rulemaking – R.25-02-005 Issue
On February 20, 2025 the CPUC opened a new proceeding to update policies and procedures related to the IOUs’ Energy Resource Recovery Accounts (ERRA) and the Power Charge Indifference Adjustment (PCIA). The PCIA is a fee that all customers, bundled or unbundled, pay to ensure the IOUs remain indifferent to the loss of customers for legacy procurement done prior to customers having the choice to choose their energy provider.
The rulemaking will address near- and long-term changes impacting the PCIA, a ratemaking element designed to ensure customer indifference to retail load departure. The CPUC calculates the PCIA using market price benchmarks (MPBs) to establish the market value of the IOUs’ PCIA-eligible portfolio. However, in recent ERRA proceedings, the IOUs have proposed new policies related to the calculation of MPBs, citing concerns with the accuracy and volatility of the current methodology.
Status
On August 13, the CPUC issued a Proposed Decision (PD) rejecting CalCCA’s proposal to resolve how certain Renewable Energy Credits (RECs) are valued in PCIA calculations. Track 2 focused on determining the appropriate valuation in the PCIA of Renewable Energy Certificates (RECs) generated and banked by the IOUs prior to January 2019, when those RECs are used for bundled service customer compliance. CalCCA’s proposal maintained its position that Pre-2019 Banked RECs be valued at the Renewables Portfolio Standard (RPS) Market Price Benchmark (MPB). The CPUC’s valuation was disappointing as this matter will determine if departed CCA customers receive their fair share of benefits from these RECs which they originally helped purchase. A Track 3 scoping memo was issued on August 18, further separating the remaining issues in the proceeding. Track 3A will consider refinements to existing PCIA structures, including the Market Price Benchmark (MPB) which is used to determine the value of the IOUs energy portfolios. Track 3B will consider broader structural indifference frameworks.
Next Steps
Track 3A and 3B will likely require parties to submit PCIA reform proposals in the first half of 2027. In the meantime, 3CE will continue to work with CalCCA on the development of proposals that ensure indifference for CCA customers and sunset the PCIA. These include suggestions on how GHG-Free, RPS, RA and other attributes
5 should be allocated, recommend changes to the vintaging of PCIA resources and advocate for structural changes to ensure indifference and reduce, restructure, or remove the continuing obligations of unbundled customer to pay the PCIA.
Integrated Resource Planning (IRP) – R.20-05-003; R.25-06-019 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, 2024, 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 fourth 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 June 23, 2026, the CPUC issued a ruling advancing a proposed alternative framework for the Reliable and Clean Power Procurement Program (RCPPP). The initial goal of the new procurement program was to establish long-term contracting requirements that streamline LSE procurement of reliability and renewable resources that align with the existing IRP process. However, the alternative RCPPP proposal puts forth a prescriptive framework that would reduce load serving entities procurement autonomy. However, the alternative RCPPP proposal puts forth a prescriptive framework that would reduce load serving entities procurement autonomy, proposing a mandate that would require new procurement in the near term and rely further on centrally procured energy.
This proposal comes a year after the CPUC proposed two other different options for implementing the RCPPP.
Initial comments on this additional proposal were due August 14; 44 parties submitted comment. Developers and environmental groups largely supported the new framework; Load-Serving Entities largely opposed it.
Additionally, 3CE filed its 2026 Individual IRP on August 10.
Next Steps
3CE has been working with CalCCA to submit reply comments due on September 2, recommending alternatives and modifications to the CPUC’s proposal that would streamline procurement and provide more flexibility.
CalCCA comments focus on the flaws in the new proposal, including that there is no guarantee of newly available resources and that it does not meet criteria for cost effectiveness. CalCCA urges the CPUC to choose a framework that allows new and existing resources to meet the new mandate and to avoid reliance on centrally procured energy. A proposed decision in the RCPPP aspect of the proceeding is expected in the November-December 2026 time frame.
Renewables Portfolio Standard (RPS) – 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
6 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 June 12, 3CE submitted its Draft 2026 RPS Procurement Plan to the CPUC. The plan provides information on 3CE’s current renewable portfolio information, upcoming solicitation plans for renewable energy, and long-term planning for renewable energy procurement. The plan also includes an assessment compliance, a review of risk for RPS eligible projects, and plans for sales of renewable energy. While 3CE is required to submit these annual plans, the CPUC has limited oversight of CCA procurement activities. The CPUC’s role is to review the plans of CCAs to ensure that they comply with the CPUC’s RPS Plan requirements. The plan follows guidance issued by an Assigned Commissioner’s Ruling (ACR) from March, which included a detailed list of criteria for LSEs to address in their plans.
Next Steps
Once the CPUC reviews 3CE’s draft plan, the Commission will issue a Decision accepting or conditionally accepting the RPS Procurement Plan. 3CE will have 30 days after the Decision is issued to modify the plan to address any CPUC identified deficiencies and submit its final plan. The 2027 ACR will be developed based on experience from this current cycle and may introduce new requirements.
PG&E Rule 30 Application for Transmission Service – A.24-11-007 Issue
On November 21, 2024, PG&E submitted an Application to the CPUC requesting approval of a new rule for non-residential customers requesting interconnection at transmission-level voltages, citing a recent increase in customers such as data centers requesting transmission-level interconnections. Current PG&E rules are focused on distribution-level interconnections. Under the proposed rule, the transmission-level customer would pay interconnection costs in advance until their forecasted load materializes, at which point the costs would be collected through rates. Due to the industry-wide implications, CalCCA has taken up this case that 3CE had initially spearheaded.
Status
On May 22, CalCCA submitted a reply brief in PG&E’s Electric Rule 30 Application at the California Public Utilities Commission (CPUC), in support of a joint motion for the adoption of a partial settlement agreement between PG&E, CalCCA, Cal Advocates, and the Sierra Club. The settlement secures critical information sharing and coordination for service agreements between PG&E and CCAs. PG&E’s Rule 30 proposes a new tariff for customers requesting interconnection from PG&E at transmission level voltages between 50 kilovolts (kV) and 230 kV. The settlement represents major progress for CCAs by securing strict 20 day timelines for PG&E to share new interconnection data and requires PG&E to notify customers on their CCA’s role as the default generation provider.
On September 9, CalCCA, with support from 3CE, filed comments in response to an ALJ ruling seeking comments on a recent show cause order issued by the Federal Energy Regulatory Commission (FERC) to the California Independent System Operator (CAISO) and transmission owners. The order directs CAISO and transmission owners to justify their current tariffs or propose changes to accommodate large load customers. The comments requested that the CPUC adopt the Partial Settlement proposed by CalCCA, PG&E, Cal Advocates, and Sierra Club, and the data sharing provisions included therein to improve the ability to forecast large loads consistent with the goals of the FERC Order.
7 Next Steps
3CE will continue to engage in the proceeding through CalCCA and will monitor for any new rulemakings related to large loads.
Improvements to the Climate Credit – R.25-07-013
Issue
The California Cap-and-Trade program, which was renamed Cap-and-Invest under AB-1207, requires power plants, fuel providers, and large industrial facilities that emit greenhouse gases (GHGs) to retire allowances to cover their emissions. The sale of these allowances is used to benefit ratepayers by funding the California Climate Credit. A twice-per-year lump-sum bill credit delivered in April and October, automatically provided to all bundled and unbundled residential electric customers. On July 28, 2025, the CPUC initiated a rulemaking to consider ways to improve the effectiveness of the Climate Credit in support of customer affordability. The preliminary scope of the rulemaking includes potential modifications to customer eligibility criteria, distribution timing, and setting guidelines around customer outreach related to the Climate Credit. The outcomes of the rulemaking will shape how 3CE residential customers see this relief on their bills and how much financial assistance they receive.
Status
Following a Phase 1A decision, residential customers automatically received their 2026 credit allocations in August and September rather than the typical low usage months of the spring and fall. For 3CE customers receiving distribution from PG&E, the total credit provides $72.36 across the consecutive summer months while those living in SCE service territory will receive $72.00 over the same period. In March, 3CE began notifying customers of the upcoming changes and provided call center staff with instructions on answering employee questions to avoid any confusion made by these changes. On June 29, the Assigned Commissioner issued a ruling (ACR) to begin Phase 1B of the proceeding. The ruling outlined the Commission’s priorities and conceptual approaches for further reforming the residential climate credit.
On August 11, 3CE attended a proceeding workshop at the CPUC in San Francisco to discuss methods for improving the residential climate credit. Parties proposed alternative distribution methods to better address affordability, including allocating more credits to high-usage customers or customers in specific areas. 3CE cautioned against complex approaches that could reduce credit amounts through increased administrative costs and supported reserving additional credits for income-qualified customers.
Next Steps
Parties, including CalCCA, are working through Phase 1B proposals filed on September 14, recommending alternative Climate Credit distribution methodologies. 3CE has been supporting the proposal development which retains the existing credit methodology, that all customers continue to receive a share of the credit, while recommending additional funds to income-qualified customers if the CPUC determines greater affordability measures are needed. A Proposed Decision (PD) on Phase 1B, setting long term modifications to the Climate Credit is expected by the end of this year.
Integrated Energy Policy Report (IEPR) – 26-IEPR-01
Issue
The Integrated Energy Policy Report (IEPR) is the California Energy Commission’s (CEC) biennial assessment of the state’s energy system, with an update in even numbered years, which includes a 15 year energy demand forecast. The IEPR forecast is a key input in the electric system planning and is used by the CPUC to establish procurement requirements for LSEs. The CEC develops the report through a collaborative process involving party
8 workshops, demand analysis working groups, and stakeholder input. Load Serving Entities, including 3CE, are required to submit projected demand data during each reporting cycle. Because the IEPR determines 3CE’s Resource Adequacy obligations, accurate forecasting is critical to ensure the projected load matches system needs but doesn’t lead to costly over procurement.
Status
On August 20, 3CE attended a CEC Commissioner Workshop to review data inputs and assumptions that will be used in energy demand forecasting and modeling for the 2026 IEPR process. The updated forecast will include scenarios that estimate the potential impacts of the state’s decarbonization strategies and other sources of load growth, such as increases in data center load across the state. Discussions centered around updates to the forecast model to better account for data center growth and other large loads seeking interconnection to the grid. While the CEC develops its data center forecast using information from utilities, including project status and requested capacity, CCA involvement in these areas of the forecast has been limited. As situations regarding data centers and other large loads are rapidly evolving, CCA input will only serve to increase the accuracy of forecasting, as well as inform transmission and procurement needs. CalCCA, with support from 3CE, filed workshop comments on September 15 advocating for increased coordination with CCAs on large load issues and encouraging the CEC to engage with all CCAs to gather information that can be used to identify and forecast new loads.
Next Steps
The agency will attend additional workshops and demand analysis working groups leading up to the release of the draft report and final forecast presentations in December. With the forecast’s adoption expected in early 2027, 3CE expects to work closely with its member agencies to determine the extent to which data center projects and other large loads will be coming online in the service territory, while continuing to monitor the CEC’s modeling inputs and assumptions and evaluate the proposed demand forecasts.
California Advanced Electric Rate Design –R.26-04-009
Issue
On April 9, the CPUC opened a new rulemaking, R.26-04-009, to establish advanced electric rate design policies to update residential and non-residential rate structures and their underlying cost inputs so that rates more accurately reflect the cost of providing service, send price signals that support efficient use of grid infrastructure, and allocate costs fairly across all customers. The CPUC’s primary focus is on amending policies around the delivery portion of customers' bills to improve reliability and affordability, while ensuring costs to manage the grid are allocated fairly. The OIR responds to increasing affordability pressures driven by wildfire related costs and rapid load growth, while also advancing prior efforts to remove fixed costs out of volumetric rates. This proceeding will look to both develop new rates and policies for emerging issues around large loads like data centers and Commercial and Industrial customers, while also addressing electric rate design issues remaining from previous rulemakings to reform rates for residential customers. The CPUC Investor-owned utilities are the primary respondents in the Rulemaking, but CCA participation is imperative to ensure any modifications to delivery costs are equitable for CCA customers.
Status
A Prehearing Conference was held on June 18 to address the scope and schedule of the proceeding. CalCCA presented on behalf of the CCAs, asking that any new rate designs, fixed charges, or program structures established during the proceeding does not disadvantage CCA customers relative to bundled utility customers.
CalCCA also used the opportunity to recommend additional scoped items including the establishment of statewide information sharing requirements between IOUs and CCAs regarding large load interconnection requests. Administrative Law Judge Perez-Green signaled the Commission would take time to consider party comments and respond with a scoping memo, expected by September.
9 Next Steps
Following the issuance of the scoping memo, the proceeding will feature workshops followed by comment opportunities and stakeholder reports extending through late 2026, with an initial Phase or Track 1 Proposed Decision (PD) expected sometime next year.
OIR to Improve Implementation and Expand Participation Under the Load Management Standards –26-OIR-001
Issue
The California Energy Commission’s (CEC) updated Load Management Standards (LMS) 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 and maintain an LMS Compliance Plan, and jointly develop a single statewide standard tool (SST) for authorized rate data access by third parties that is compatible with each of those entities' systems. 3CE has maintained compliance with the regulations since the Policy Board approved the agency’s original plan in March of 2024 and began offering its agricultural, commercial and residential customers voluntary participation in PG&E’s Hourly Flex Pricing (HFP) Pilots 1 and 2.
The pilots offer customers dynamic rates where prices change hourly based on market and grid conditions.
Participants can then adjust their energy use to times when electricity is cheaper while reducing strain on the grid. However, data access remains a major barrier to 3CE offering its own hourly or sub-hourly marginal cost-based rate. CCAs would require the capability to combine generation rates with the IOU’s transmission and distribution components. While 3CE currently fulfills its LMS requirements through participation in PG&E’s dynamic rate pilots, issues around CCA autonomy and compliance with LMS regulations remain. With the pilots scheduled to sunset in December of 2027, 3CE is working on a solution to provide long-term options for customers to continue save money through load flexibility programs and rates, while providing benefits to the grid.
Status
A key LMS requirement for 3CE is the publication and maintenance of the agency’s time-dependent rates to the CEC’s Market Informed Demand Automation Server (MIDAS) database. While some 3CE customers already utilize Automated Service Providers (ASPs) to shift energy use away from peak periods, the LMS mandates that CCAs provide customer access to CEC’s preferred MIDAS database for this process. For 3CE and other CCAs, rate uploads to MIDAS have become increasingly resource-intensive, with the process taking over ten business days to complete. More recently, the CEC launched MIDAS 2.0 on June 22, which materially increases file size and the complexity of data uploads. To address the MIDAS issues, 3CE and a group of joint CCAs met with CEC staff from the Load Flexibility and Demand Response team on August 13 to highlight the ongoing challenges with the database and offer solutions to improve the reliability of the upload process. The CEC staff offered support with upload challenges and agreed to establish a CCA notification process for future MIDAS changes.
Next Steps
Earlier this year, the CEC announced it would open a new docket to improve the implementation and expand participation under the Load Management Standards, expected to begin in 2027. Once the new rulemaking opens, 3CE will continue to advocate for amendments that address the many barriers to CCA customer participation in dynamic rates.
PG&E Billing Modernization Initiative – A.24-10-014
Issue
On October 23, 2024, Pacific Gas and Electric Company (PG&E) filed Application (A.24-10-014) with the California Public Utilities Commission (CPUC) for its Billing Modernization Initiative (BMI), requesting approval to recover $761.3 million in forecasted and recorded costs spanning 2023 through 2030 to replace its aging customer billing
10 architecture. 3CE and a coalition of other CCAs have been participating in the Application process to ensure CCA customers receive the same enhancements on their bills as bundled customers.
Status
On July 9, the joint CCAs reached a settlement agreement with PG&E and submitted it as a motion for approval by the CPUC. The settlement advances significant improvements to CCA billing operations, including enhanced data quality, faster access to sub-hourly billing interval data, dedicated technical support, and a collaborative bill redesign process to improve clarity and customer communications. It also provides greater certainty by delaying any PG&E request to increase CCA Service Fees until BMI is complete and establishing the end-state BMI system as the timeline for displaying the PCIA as a separate line item on customer bills.
Next Steps
3CE anticipates that the Commission will vote to approve this settlement within the next few months.
Energy Resources Recovery Account (ERRA) Forecast – A.26-05-007; A.26-05-006 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 2027 ERRA Forecast – A.26-05-007
Following PG&E’s May 15 filing of its 2027 ERRA Forecast Application, CalCCA filed a protest on June 17, on behalf of the 12 CCAs in PG&E’s service territory, including 3CE. PG&E’s Application includes surprising forecasts, including increasing bundled system average rates by 5.7% and omitting nearly $300 million in generation costs currently under consideration in the general rate case (GRC). Following the CPUC’s issuance of a scoping memo, CalCCA filed testimony on August 27 to address PG&E’s implementation of the interim Slice of Day Resource Adequacy (RA) calculation methodology. Unlike the other IOUs, PG&E proposes to calculate retained RA using an hourly RA position for each month’s worst day. The CalCCA testimony asserts that the CPUC should avoid adopting different methods for each IOU forecast, and that SCE’s interim method is preferable until a permanent solution can be implemented.
SCE 2027 ERRA Forecast – A.26-05-006
SCE filed its 2027 ERRA Forecast Application on May 15, 2026. SCE’s Application projecting a 5% increase in bundled rates. Similar factors impact the PCIA as the PG&E case. CalCCA submitted testimony on August 14, addressing SCE’s 2027 retained RA forecast, which is 3,000 MW higher than 2026. The error was due to SCE’s banked REC calculation, which requires a correction in the amount credited to the ERRA.
Next Steps
The IOUs request that the CPUC approve these forecasted 2027 energy procurement revenue requirements to become effective rates on January 1, 2027. Proposed Decisions providing resolution for these applications are expected by November. 3CE will work with CalCCA to ensure accuracy of forecast account balances and rates, cost calculations in workpapers, and calculation of the PCIA.
Staff Report Item 4
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Gina Urmatan, Senior Accountant
SUBJECT: Financial Report for the period of October 1, 2025, through June 30, 2026 DATE: September 16, 2026
RECOMMENDATION:
Receive a financial report for the period October 1, 2025, through June 30, 2026.
BACKGROUND:
Consistent with 3CE’s commitment to affordability and prudent cost management, financial performance through the first three quarters of the fiscal year was favorable, with revenues slightly exceeding budget and expenditures remaining below plan, primarily due to lower energy costs. As a result, the 3CE’s cash and investment position grew, and its net position increased compared to the start of the fiscal year, while overall liabilities declined. Additional details on revenues, expenditure, receivables, collateral, and liquidity are followed below.
DISCUSSION/ANALYSIS:
For the period ending June 30, 2026, 3CE reported operating revenues of $419.2 million and operating expenses of $346.3 million, resulting in operating income of $73.0 million. Net non-operating revenue totaled $7.7 million, primarily driven by interest and investment returns, resulting in a total increase in net position of $80.7 million.
Year-to-date electricity sales revenue was $11.2 million above budget, primarily because rate revenue came in above budget across multiple customer classes and load was slightly favorable by almost 1%.
Non-operating revenue, consisting primarily of investment returns from assets held in operating and investment accounts together with interest earned on collateral and deposit balances, exceeded budget by $0.9 million due to higher-than-anticipated liquidity. In total, year-to-date revenues and other sources were $12.2 million above budget, representing a favorable variance of 3%. This favorable
variance is expected to compress at year-end, as rates were adjusted downward on February 15, 2026, and the fourth quarter includes 3CE's highest-priced summer months.
Year-to-date operating expenditures, excluding capital outlay, were $74.5 million below budget, representing a favorable variance of 18%. This variance was primarily attributable to lower-than-anticipated energy costs, which were $70.0 million under budget. The favorable energy cost variance reflects a combination of factors, including strong portfolio management, lower market prices, the timing of invoices for items such as Renewable Energy Credits (RECs) and annual net energy metering true-ups, and higher-than-planned revenue from congestion revenue rights. A portion of this variance is attributable to timing and is expected to reverse in the fourth quarter as 3CE fulfills its remaining energy-related obligations, including resource adequacy (RA) and REC purchases, and as costs increase during the higher-priced summer months.
Non-energy operating costs were $4.4 million below budget, consisting of $1.2 million in salaries and benefits, primarily due to staff vacancies and the timing of new hires, and $3.2 million in services and supplies, primarily due to lower-than-planned costs for contracted services. Capital outlay was $0.3 million below budget due to pending work on electric vehicle charging and tenant improvement capital projects. Non-energy operating costs are expected to increase in the fourth quarter as contracted services materialize and energy programs and capital projects continue to progress. Year-to-date total expenditures, including capital outlay, were $74.7 million lower than budget, representing a favorable variance of 18%.
Net position as of June 30, 2026, totaled $343.4 million, representing an increase of $80.7 million from the prior fiscal year-end balance of $262.7 million. This increase was primarily driven by higher cash and investment balances, along with a $39.1 million decrease in accrued cost of electricity. Cash, cash equivalents, restricted cash, and investments totaled $308.8 million, an increase of approximately $85.8 million from the start of the fiscal year. The favorable change in liquidity was primarily attributable to cash generated from operating revenues. Overall, 3CE’s year-to-date financial statements reflect a strong financial position, with increased liquidity, reduced liabilities, and continued growth in net position compared to the prior fiscal year-end.
3CE's counterparty collateral position consists of three components. First, 3CE maintains $2.4 million in interest-bearing Letter of Credit accounts with SCE and PG&E, reported as restricted cash, satisfying its regulatory-mandated Provider of Last Resort (POLR) Financial Security Requirement (FSR). Second, 3CE has posted $12.0 million in deposits with energy counterparties, reported as current and non-current assets; these balances declined by $13.5 million during the period. Third, and in the other direction, 3CE holds $13.1 million in security deposits posted by its own energy suppliers, reported as a liability, as
protection against nonperformance by those suppliers; these balances increased by $1.6 million during the period.
Accounts receivable, net of allowance for doubtful accounts, totaled $41.8 million as of June 30, 2026.
Approximately 78.7% of this balance was current or aged 30 days or less, consistent with normal billing cycles. Approximately $5.9 million, or 14.1% of total receivables, was aged over 91 days. This balance is presented net of an allowance for doubtful accounts, which reserves for anticipated losses, including amounts in the over-91-day category.
FISCAL IMPACT:
There is no financial impact associated with receiving this report.
CONCLUSION:
Staff will continue to monitor accounts receivable aging, energy cost trends, and liquidity throughout the remaining months of the fiscal year and will bring any material changes to the Board's attention in future reports. These are unaudited, compiled interim financial statements. Year-end results remain subject to 3CE’s annual independent audit.
ATTACHMENT(S):
1. June 30, 2026 Financial Report
Compiled Financial Statements 1
Compiled Budgetary Comparison Schedule 6
Budget Variance Commentary 8
Investment Summary 9
Accounts Receivable Aging Summary 10
Table of Contents
FINANCIAL REPORT
Fiscal Year to Date
As of June 30, 2026
1 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, 2026, and the related statement of revenues, expenses, and changes in net position, and the statement of cash flows for the nine months 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 31, 2026
1101 Fifth Avenue, Suite 200 San Rafael, CA 94901 415 459 1249 mahercpa.com
ASSETS
Current assets
Cash and cash equivalents - unrestricted 197,970,717$
Cash - restricted 2,380,711
Accounts receivable, net of allowance 41,819,250
Accrued revenue 31,635,215
Other receivables 2,813,041
Investments 88,522,211
Prepaid expenses 497,433
Deposits 11,983,360
Loan receivable 197,952
Total current assets 377,819,890
Noncurrent assets
Investments 19,931,050
Deposits 53,629
Loan receivable 937,826
Capital assets, net of depreciation and amortization 6,979,178 Total noncurrent assets 27,901,683
Total assets 405,721,573
LIABILITIES
Current liabilities
Accrued cost of electricity 41,589,461
Accounts payable 1,442,433
Other accrued liabilities 3,571,385
User taxes and energy surcharges due to other governments 1,835,003 Security deposits - energy suppliers 1,116,000
Lease liability 265,780
Total current liabilities 49,820,062
Noncurrent liabilities
Security deposits - energy suppliers 11,950,650
Lease liability 579,833
Total noncurrent liabilities 12,530,483
Total liabilities 62,350,545
NET POSITION
Net investment in capital assets 6,133,565
Restricted for security collateral 2,380,711
Unrestricted 334,856,752
Total net position 343,371,028$
As of June 30, 2026
STATEMENT OF NET POSITION
CENTRAL COAST COMMUNITY ENERGY
OPERATING REVENUES
Electricity sales, net 419,016,521$
Other income 202,249
Total operating revenues 419,218,770
OPERATING EXPENSES
Cost of electricity 311,593,908
Contract services 10,213,640
Staff compensation 9,433,513
Program incentives 12,491,714
Other operating expenses 2,030,251
Depreciation and amortization 492,490
Total operating expenses 346,255,516
Operating income (loss) 72,963,254
NONOPERATING REVENUES (EXPENSES)
Investment income 7,742,523
Interest expense (28,154)
Nonoperating revenues (expenses) 7,714,369
CHANGE IN NET POSITION 80,677,623
Net position at beginning of period 262,693,405
Net position at end of period 343,371,028$
Nine Months Ended June 30, 2026
AND CHANGES IN NET POSITION
STATEMENT OF REVENUES, EXPENSES
CENTRAL COAST COMMUNITY ENERGY
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers 455,789,335$
Receipts from wholesale sales and other operating revenue 10,383,895 Receipts of deposits and collateral 65,977,869
Payments to suppliers for electricity (359,460,109)
Payments for other goods and services (12,816,699)
Payments of deposits and collateral (50,921,676)
Payments for program incentives (13,018,069)
Payments for staff compensation (9,144,575)
Payments of taxes and energy surcharges to other governments (7,810,285) Net cash provided by operating activities 78,979,686
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Payments of lease (311,131)
Purchases of capital assets (683,882)
Net cash provided (used) by capital and related financing activities (995,013)
CASH FLOWS FROM INVESTING ACTIVITIES
Investment income received 5,447,209
Proceeds from sales and maturities of investments 124,915,000 Loan principal received 194,301
Investment purchases (125,344,394)
Net cash provided (used) by investing activities 5,212,116 Net change in cash and cash equivalents 83,196,789
Cash and cash equivalents at beginning of year 117,154,639 Cash and cash equivalents at end of period 200,351,428$ Reconciliation to the Statement of Net Position
Cash and cash equivalents - unrestricted 197,970,717$
Cash - restricted 2,380,711
Cash and cash equivalents 200,351,428$
Change in fair value of investments 2,458,219$
Change in interest income receivable (162,905)$
Nine Months Ended June 30, 2026
STATEMENT OF CASH FLOWS
CENTRAL COAST COMMUNITY ENERGY
NONCASH INVESTING ACTIVITIES
Operating income (loss) 72,963,254$
Adjustments to reconcile operating income (loss) to net cash provided by operating activities
Depreciation and amortization expense 492,490
(Increase) decrease in:
Accounts receivable, net of allowance 20,643,342
Accrued revenue 8,709,096
Other receivables 1,141,707
Prepaid expenses (43,153)
Deposits 13,478,867
Increase (decrease) in:
Accrued cost of electricity (39,148,503)
Accounts payable (1,849,974)
Other accrued liabilities 1,405,142
User taxes and energy surcharges due to other governments (389,908) Security deposits - energy suppliers 1,577,326
Net cash provided by operating activities 78,979,686$
CENTRAL COAST COMMUNITY ENERGY
STATEMENT OF CASH FLOWS (continued)
Nine Months Ended June 30, 2026
RECONCILIATION OF OPERATING INCOME (LOSS) TO NET
CASH PROVIDED BY OPERATING ACTIVITIES
1 ACCOUNTANTS’ COMPILATION REPORT
Board of Directors
Central Coast Community Energy
Management is responsible for the accompanying special purpose budgetary comparison schedule of Central Coast Community Energy (a California Joint Powers Authority) for the one and nine months ended June 30, 2026, 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 31, 2026
1101 Fifth Avenue, Suite 200 San Rafael, CA 94901 415 459 1249 mahercpa.com
Actual Budget Amount % Actual Budget Amount % Budget
Annual Budget
Less Actual
YTD
REVENUES AND OTHER SOURCES
Electricity sales, net $ 49,212,630 $ 49,620,404 $ (407,774) -1% $ 419,016,521 $ 407,837,802 $ 11,178,719 3% $ 578,022,716 $ 159,006,195 Interest and investment returns 926,994 758,333 168,661 22% 7,742,523 6,824,997 917,526 13% 9,100,000 1,357,477 Other income 82,174 6,250 75,924 1215% 202,249 56,250 145,999 260% 75,000 (127,249) Total revenues and other sources 50,221,798 50,384,987 (163,189) 0% 426,961,293 414,719,049 12,242,244 3% 587,197,716 160,236,423 EXPENDITURES AND OTHER USESCurrent Expenditures
Cost of energy 32,525,538 38,470,769 5,945,231 15% 312,264,002 382,302,551 70,038,549 18% 534,776,256 222,512,254 Salaries and benefits 885,612 1,209,261 323,649 27% 9,433,513 10,627,724 1,194,211 11% 14,260,774 4,827,261 Services and supplies 2,317,725 2,978,371 660,646 22% 24,376,642 27,608,525 3,231,883 12% 38,160,686 13,784,044 Capital outlay 68,231 100,000 31,769 32% 641,827 900,000 258,173 29% 1,200,000 558,173 Total current expenditures 35,797,106 42,758,401 6,961,295 16% 346,715,984 421,438,800 74,722,816 18% 588,397,716 241,681,732 Surplus (deficit) 14,424,692$ 7,626,586$ 6,798,106$ 80,245,309$ (6,719,751)$ 86,965,060$ (1,200,000)$ (81,445,309)$ Favorable variances represent revenues exceeding budget or expenditures below budget.
Annual
CENTRAL COAST COMMUNITY ENERGY
BUDGETARY COMPARISON SCHEDULE
Current Month and Nine Months Ended June 30, 2026
Current Month
Variance
Favorable
(unfavorable)
Year-To-Date
Variance
Favorable
(unfavorable)
CCA Program surplus/(deficit)
per budgetary comparison schedule: 80,245,309$
Adjustments needed to reconcile to the changes in net position in the Statement of Revenues, Expenses and Changes in Net Position:
Add back GASB 87 lease amortization not in operating budget 282,977 Subtract depreciation expense (492,490)
Add back capital asset acquisitions 641,827
Change in Net Position 80,677,623$
REVENUES, EXPENSES AND CHANGES IN NET POSITION
CENTRAL COAST COMMUNITY ENERGY
BUDGET RECONCILIATION TO STATEMENT OF
Nine Months Ended June 30, 2026
Budget Item
YTD Variance -
Favorable
(Unfavorable) Comment
Electric Sales Revenue, net 2.7% 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 18.3% 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.
Salaries and Benefits 11.2% Staffing expenses are under budget due to the timing of new hires.
Services and Supplies 11.7% This category includes accounting, IT, technical and other consultants.
Budget Commentary for significant items
CENTRAL COAST COMMUNITY ENERGY
October 1, 2025 through June 30, 2026
Current 0 - 30 Days 31 - 60 Days 61 - 90 Days > 91 Days A/R Balance 19,264,829$ 13,641,384$ 2,122,419$ 894,359$ 5,896,259$ 41,819,250$
CENTRAL COAST COMMUNITY ENERGY
Summary of Accounts Receivable, Net of Bad Debt Allowance As of June 30, 2026
Return of Investments YTD Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep CASH AND CASH EQUIVALENTSRiver City Bank / Chase / West Coast Community Bank - Money Market and other Interest Earning AccountsFunds Invested - Average Balance 96,624,568$ 99,293,298$ 108,525,583$ 110,254,298$ 124,052,493$ 141,426,764$ 149,167,365$ 159,931,211$ 168,560,612$ Gains/Losses/Interest 3,607,818$ 331,876$ 320,565$ 354,632$ 351,482$ 354,822$ 444,421$ 451,349$ 497,284$ 501,386$ Average APY 4.12% 3.87% 3.92% 3.83% 3.43% 3.77% 3.63% 3.73% 3.57%INVESTMENTSSchwab/FidelityFunds Invested - Average Balance 131,114,341$ 131,499,666$ 131,948,441$ 132,208,888$ 132,677,578$ 133,044,877$ 133,414,246$ 133,771,576$ 134,102,592$ Gains/Losses/Interest 3,404,726$ 574,669.46 289,175.13 406,774.61 300,989.12 472,598.40 370,254.94 419,232.98 187,335.53 383,695.87 Average APY 5.26% 2.64% 3.70% 2.73% 4.27% 3.34% 3.77% 1.68% 3.43%
CENTRAL COAST COMMUNITY ENERGY
Investment Summary
October 1, 2025 through September 30, 2026
Staff Report Item 5
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, CEO
PREPARED BY: Jerri Gilles, Director of Regulatory Affairs & Compliance SUBJECT: Adopt Resolution No. OB-2026-14 Authorizing the Operations Board Chair to Attest to the Veracity of 3CE’s 2025 Power Source Disclosure Annual Report DATE: September 16, 2026
RECOMMENDATION:
This recommends the Operations Board of Directors adopt resolution No. OB-2026-14 to delegate authority to the Chair of the Operations Board to attest to the veracity of 3CE’s 2025 Power Source Disclosure Annual Report.
BACKGROUND:
California Public Utilities Code Section 398.4 requires all retail sellers of electricity, including community choice aggregators, to disclose accurate, reliable, and simple-to-understand information on the sources of energy, and the associated emissions of greenhouse gases, which are used to provide electric services.
The disclosure and reporting requirements are implemented through the California Energy Commission’s (“CEC”) Power Source Disclosure (“PSD”) Program. Under the PSD Program, all retail sellers must provide customers with a Power Content Label (“PCL”) that discloses the fuel mix and greenhouse gas emission intensity of each electricity portfolio sold in the previous calendar year. (20 CCR § 1393.1). The PCL is a highly prescriptive reporting requirement, derived from the annual Power Source Disclosure report, and requires all load-serving entities to utilize detailed accounting rules to report on retail sales (20 CCR § 1392).
The applicable regulations allow a board of directors of a public agency to submit to “the Energy Commission an attestation of the veracity of each annual report for the previous year.” (Cal. Code Regs.
tit. 20, section 1394(a)(2)). Following attestation, the CEC generates a PCL for each California retail supplier based on the submitted PSD Annual Report and publish it online once available.1 DISCUSSION/ANALYSIS:
During the 2025 calendar year, 3CE delivered a portion of its electric energy supply from various Renewables Portfolio Standard (RPS) eligible energy sources. Under its 3Cchoice product category, 47% of energy delivered to the community was sourced from RPS-eligible sources and the remaining 53% is unspecified power, which comes from a variety of sources. Energy procured for 3CE’s 100% renewable product, 3Cprime, is sourced equally from solar and wind resources dynamically scheduled into the California Independent System Operator balancing authority.
Rather than rely on carbon-free attributes to bolster its PCL accounting, 3CE's Policy Board adopted its 100% Clean and Renewable Goal which sought meaningful investment in new resources that would provide a more impactful approach to reducing greenhouse gas emissions. For the 2025 reporting year, 3CE's total load grew by 8.4% as it expanded to serve Atascadero and unincorporated San Luis Obispo County. 3CE's long-term renewable projects continued to generate clean, renewable power, while short-term purchases and allocated RPS-eligible volumes were replaced at lower volumes. Several upcoming renewable energy projects also experienced delays due to interconnection bottlenecks, permitting challenges, and macroeconomic factors, deferring the growth in RPS-eligible deliveries that would otherwise have offset these changes. The increase in load served and the change in allocated resources together account for the reduction in the volume of RPS-eligible energy delivered in 2025 compared to 2024, when RPS-eligible energy accounted for 56% of total energy delivered. 3CE’s 2025 PSD Report results aligned with California’s 47% RPS interim target,2 and 3CE remains on track to meet or exceed its 52% RPS compliance obligation for the 2025–2027 compliance period, consistent with its record of meeting its obligations in all previous compliance periods and remains on track to meet or exceed its 52% RPS compliance obligation for the 2025-2027 compliance period, consistent with its record of meeting its obligations in all previous compliance periods. Staff continue to pursue innovative procurement strategies and risk-sharing structures to navigate the evolving clean energy development landscape. Past efforts are already yielding results, with 348 MW of RPS-eligible projects having come online earlier in 2026 and an additional 100 MW expected before year-end.
While preparing 3CE’s 2025 PSD, staff conducted a comprehensive review of all power purchases completed during the 2025 calendar year. Staff verified all invoices for Portfolio Content Category 1
1 California Energy Commission, Power Content Label, Power Source Disclosure Program, https://www.energy.ca.gov/programs-and-topics/programs/power-source-disclosure-program/power-content-label 2 California Public Utilities Commission, 2025 California Renewables Portfolio Standard Annual Report, at 21 (Nov. 2025), https://www.cpuc.ca.gov/-/media/cpuc-website/industries-and-topics/documents/energy/rps/2025/2025- california-renewables-portfolio-standard-rps-annual-report.pdf
(PCC1) purchases and confirmed that invoice dates aligned with the 2025 reporting period. All transactions occurred within the 2025 calendar year, consistent with CEC requirements for PCC1 classification.
Review of 3CE’s 2025 3Cchoice and 3Cprime product offerings also included an inventory of all renewable energy transfers within 3CE’s Western Renewable Energy Generation Information System (WREGIS) accounts and other relevant transaction records. All RECs utilized in 2025 were classified as PCC1, associated with energy directly delivered to a California balancing authority, and retired in WREGIS for compliance with California’s PSD requirements.
The material reviewed as part of the PSD report is highly market-sensitive, including procurement volumes and specific resources, which if disclosed would harm customers by disclosing 3CE’s confidential energy positions and market strategy. Accordingly, delegating authority to the Chair enables staff to review the information confidentially with the Chair and to meet it regulatory requirements while maintaining confidentiality and protecting customers and 3CE’s market strategy.
Following the Board Chair’s approval, 3CE will forward to the CEC: (1) a copy of this staff report and related meeting minutes; (2) a copy of 3CE’s proposed resolution attesting to the veracity of 3CE’s 2025 Power Source Disclosure Annual Report. 3CE will also complete requisite customer communications in accordance with the October 1, 2026, deadline, as may be extended or modified by the CEC.
Should the Board choose not to adopt the proposed resolution, staff will file an extension with the CEC and hire an independent auditor to review 3CE’s two product offerings’ data for compliance.
FISCAL IMPACT:
There is no fiscal impact related to the Board’s self-certification of the 2025 Power Source Disclosure Report.
CONCLUSION:
The adoption of the proposed resolution attests to the veracity of 3CE’s Power Source Disclosure in compliance with California Public Utilities Code Section 398.4 and applicable regulations.
ATTACHMENT(S):
1. Resolution No. OB-2026-14 Delegating to the Operations Board Chair to Attest to the Veracity of 3CE’s 2025 Power Source Disclosure Annual Report
DRAFT RESOLUTION NO. OB-2026-14
A RESOLUTION OF THE OPERATIONS BOARD OF DIRECTORS OF THE CENTRAL COAST COMMUNITY ENERGY AUTHORIZING THE OPERATIONS BOARD CHAIR TO ATTEST TO THE VERACITY OF 3CE’S 2025
POWER SOURCE DISCLOSURE ANNUAL REPORT
WHEREAS, Central Coast Community Energy (“3CE”) is a joint powers authority formed pursuant to the Joint Exercise of Powers Act, Cal. Gov. Code § 6500 et. seq., California Public Utilities Code §366.2, and a Joint Exercise of Powers Agreement, to provide retail energy service and 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, California Public Utilities Code sections 398.1 through 398.5 require retail sellers of electricity to disclose to their customers each year the sources of electricity delivered to customers in the previous year and to annually submit a Power Source Disclosure Program report to the California Energy Commission (“CEC”); and
WHEREAS, 3CE is a retail supplier of electricity as defined by the Power Source Disclosure Program pursuant to Title 20 of the California Code of Regulations, Section 1391 (20 CCR § 1391); and WHEREAS, Title 20 of the California Code of Regulations, Section 1394 requires 3CE’s Board of Directors or an independent auditor to attest to the veracity of the annual resource report for the previous year; and
WHEREAS, 3CE staff completed a detailed review of all renewable energy purchases and any transfers within 3CE’s Western Renewable Energy Generation Information System (WREGIS) accounts and other pertinent transaction records related to power purchases for the 2025 calendar year; and WHEREAS, to ensure timely submission and maintain confidentiality of market-sensitive information, the Operations Board finds it appropriate to delegate authority of the Board to the Chair to attest to the veracity of 3CE’s 2025 Power Source Disclosure Annual Report on behalf of the Board; WHEREAS, the Chair of the Operations Board of Directors has reviewed the 2025 Power Source Disclosure Annual Report and by this resolution is granted the authority on behalf of the Operations Board to attest to its veracity; and
NOW, THEREFORE, the Operations Board of Directors of 3CE does hereby resolve, determine, and order as follows:
1. 3CE is a public agency providing electric services as defined by Title 20 CCR § 1391; and
2. It is in the public’s benefit to avoid disclosure of highly market-sensitive information that could reveal 3CE energy positions and market strategy to market participants.
3. The Operations Board delegates authority to the Board Chair to attest to veracity of 3CE’s 2025 Power Source Disclosure Annual Report for submission to the California Energy Commission, consistent with Title 20 CCR § 1394; and
4. By signing this Resolution the Chair of the Operations Board hereby attests to the veracity of 3CE’s 2025 Power Source Disclosure Annual Report;
5. This Resolution shall take effect immediately upon adoption.
PASSED AND ADOPTED by the Operations Board of Central Coast Community Energy the 16th day of September 2026:
_____________________________
Chair, Matt Huffaker
Attest:
_____________________________
Board Clerk, Gail Borkowski
Staff Report Item 6
TO: 3CE Operations Board of Directors
FROM: Charles J. McKee, General Counsel
SUBJECT: Adopt Resolution OB-2026-13 authorizing the use of insurance in place of a master bond for designated employees for whom a Bond is required or desired.
DATE: September 16, 2026
RECOMMENDATION:
It is recommended that the Operations Board adopt a resolution approving the use of insurance policies in lieu of a master bond for employees for whom a Bond is required or desired.
BACKGROUND/DISCUSSION:
Many government positions are required by statute or policy to post bonds to protect both the entity and those doing business with the entity from negligence and wrongdoing. These positions are generally limited to those who handle or control property (i.e. money) of the entity. The legislature allows public entities to procure insurance in lieu of posting bonds, upon approval of the appointing authority or legislative body. These insurance policies cover crime, dishonesty and faithful performance.
The Joint Exercise of Powers Act requires agencies such as 3CE to designate the positions to be bonded and to set the amount. It is recommended that 3CE Treasurer, Officers, Directors, Vice Presidents Finance Officers, and similar positions be designated.
Adoption of the attached resolution would designate the applicable positions, set the amount, and authorize the use of insurance policies in place of bonds.
FISCAL IMPACT:
The fiscal impact would be for any additional insurance policies deemed prudent and in the best of 3CE to cover this requirement.
CONCLUSION:
It is recommended that the Operations Board adopt Resolution OB-2026-XX authorizing the use of insurance in place of a master bond for designated employees.
ATTACHMENTS: Resolution OB-2026-13
RESOLUTION NO. OB-2026-13
RESOLUTION OF THE OPERATIONS BOARD OF DIRECTORS OF CENTRAL COAST COMMUNITY ENERGY (3CE) APPROVING THE USE OF INSURANCE POLICIES IN LIEU OF A
MASTER BOND FOR EMPLOYEES FOR WHOM A BOND IS REQUIRED OR DESIRED WHEREAS, 3CE, as a Joint Powers Agency, may exercise powers common to its members (Government Code section 6502), as designated in the 3CE Joint Powers Agreement; WHEREAS, pursuant to Government Code section 6505.2, employees who have charge of, handle, or have access to any property of the Agency shall have a bond posted in an amount set by the Agency;
WHEREAS, Government Code section 1481 allows the legislative body of a local agency to authorize a master bond for all applicable employees and to determine the form and amount of such a bond;
WHEREAS, an insurance policy, such as a government crime insurance policy or employee dishonesty insurance policy, including faithful performance, may be procured and used in lieu of a master bond if approved by the appointing power or legislative body; NOW, THEREFORE, BE IT RESOLVED by the 3CE Operations Board of Directors as follows:
Section 1. Recitals
The above recitals are true, correct and incorporated herein.
Section 2. INSURANCE IN LIEU OF BONDS
The procurement of insurance policies in place of any required or desired bonds for applicable employees of 3CE is hereby approved.
Section 3. DESIGNATED BONDED POSITIONS
All employees of 3CE who have charge of, handle, or have access to any property of the Agency, including all Officers, Directors, Vice Presidents, Treasurers, Finance Officers, and similar positions are designated herein to be covered by this Resolution and corresponding insurance.
Section 4. COVERAGE AMOUNT
The required covered amount shall be the amount of applicable insurance policy coverage.
PASSED AND ADOPTED this 16th Day of September 2026, by the following vote:
AYES:
NOES: None
ABSENT:
__________________________________
Chair, Matt Huffaker
Attest:
__________________________________
Board Clerk, Gail Borkowski
Staff Report Item 7
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Gail T. Borkowski, Board Clerk
SUBJECT:
DATE:
Adopt Resolution OB-2026-15 setting the regular meeting schedule of the Operations Board of Directors
September 16, 2026
RECOMMENDATION:
Adopt Resolution OB-2026-15 setting the regular meeting schedule of the Operations Board of Directors.
BACKGROUND:
Section 3.8 of the Central Coast Community Energy Joint Powers Agreement requires the Operations Board to hold up to eight 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 Operations Board provide a regular time and place for its meetings by formal action.
DISCUSSION/ANALYSIS:
Staff recommends that starting in 2027, the Operations Board adjust its regular meeting schedule to meet on the third (rather than the second) Wednesday in the months of January, February, April, May, August, September, October, and November. The schedule for 2026 will remain and the schedule for 2027 (and beyond) would be adjusted as set forth in the following table:
Regular Meeting Schedule
January 3
rd Wednesday: January 20, 2027
February 3
rd Wednesday: February 17, 2027
April 3
rd Wednesday: April 21, 2027
May 3
rd Wednesday: May 19, 2027
August 3
rd Wednesday: August 18, 2027
September 3
rd Wednesday Regular and Joint Annual Meeting: September 15, 2027
October 3
rd Wednesday: October 20, 2027
November 3
rd Wednesday: November 17, 2027
This recommendation maintains the current meeting cadence, except that it avoids conflicts with certain holidays, the Cal Cities City Manager’s Conference and CSAC Legislative Conference.
All regular meetings shall be duly noticed to begin at 10.30 a.m. on the above days at 3CE’s offices located at 20 Ryan Ranch Rd, Suite 214, Monterey, CA 93940, except the September meeting which will be separately noticed to accommodate the desire for the meeting move every other year from the northern and southern portion of 3CE’s service area.
FISCAL IMPACT:
No fiscal impact is anticipated.
CONCLUSION:
The Operations Board’s adoption of the Draft Resolution willset the Board’s regular meeting schedule and accommodate changes to the Operations Board regular meeting calendar.
ATTACHMENT(S):
1. Draft Resolution OB-2026-15
RESOLUTION NO. OB-2026-15
A RESOLUTION OF THE OPERATIONS BOARD OF DIRECTORS OF CENTRAL COMMUNITY ENERGY ESTABLISHING A REGULAR MEETING SCHEDULE; AND SUPERCEEDING ALL PREVIOULSY ADOPTED
RESOLUTIONS TO THE EXTENT OF ANY INCONSISTENT MEETING SCHEDULE, LOCATION AND TIMES WHEREAS, 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 Section 3.8 of the Central Coast Community Energy Joint Powers Agreement, the Operations 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, Central Coast Community Energy desires, effective in January 2027, 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 Operations Board of Directors of Central Coast Community Energy does hereby resolve, determine, and order as follows:
1. The regular meetings of the Operations Board of Directors of Central Coast Community Energy shall be held at 10:30 a.m. on the following days at the following locations (unless otherwise changed by Board approval)
Regular Meeting Schedule
DAY Month Location
Third (3rd) Wednesday January 20 Ryan Ranch Road, Suite 214, Monterey, CA 93940
Third (3rd) Wednesday February 20 Ryan Rancg Road, Suite 214, Monterey, CA 93940
Third (3rd) Wednesday April 20 Ryan Ranch Road, Suite 214, Monterey, CA 93940
Third (3rd) Wednesday May 20 Ryan Ranch Road, Suite 214 Monterey, CA 93940
Third (3rd) Wednesday August 20 Ryan Ranch Road, Suite 214, Monterey, CA 93940
Third (3rd) Wednesday September TBD in conjunction with Annual Joint meeting
Third (3rd) Wednesday October 20 Ryan Ranch Road, Suite 214, Monterey, CA 93940
Third (3rd) Wednesday November 20 Ryan Ranch Road, Suite 214, Monterey, CA 93940
2. The Operations Board’s September meeting will rotate between the northern and southern portions of 3CE’s service area and will be separately noticed in conjunction with the Joint Annual Meeting.
3. If necessary, special Board meetings will be convened and duly noticed as per Brown Act requirements at other venues.
4. If there are no agenda items, the meeting will be cancelled.
5. This Resolution shall take effect on January 1, 2027.
PASSED AND ADOPTED by the Operations Board of Central Coast Community Energy this 16th day of September, 2026 by the following vote:
AYES:
NOES:
ABSENT:
Chair, Matt Huffaker
Attest:
Board Clerk, Gail T Borkowski
Staff Report Item 8
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Chris Rich, VP Business Operations
SUBJECT: Adopt Resolution No. OB-2026-17 authorizing the CEO to execute a Memorandum of Understanding (“MOU”) for the purpose of continued participation in Special District Risk Management Authority (“SDRMA”) Joint Powers Authority (“JPA”) Employee Benefits Program
DATE: September 16, 2026
RECOMMENDATION:
Adopt Resolution No. OB-2026-17 authorizing the continuation of 3CE’s health benefit program through Special District Risk Management Authority (“SDRMA”) Joint Powers Authority (“JPA”) by authorizing the CEO to execute the SDRMA Memorandum of Understanding (“MOU”) for the purpose of participation in SDRMA employee health benefits program for 2027.
BACKGROUND:
Providing cost-effective and competitive healthcare benefits for our employees is a key part of 3CE’s strategy to recruit and retain talented staff. Given the strength of its offerings (multiple Blue Shield PPO plans, Kaiser HMO plans, and ancillaries), coupled with 3CE agency and employee costs, 3CE elected to switch to the SDRMA health benefit program, starting in January 1, 2026. SDRMA provides health insurance coverage and related benefits for eligible employees and their dependents.
In preparation for a new 2027 insurance plan year, staff conducted market research, compared available rate and benefit options through different brokers, and weighed costs/benefits associated with any potential change in healthcare providers. Given that research, staff recommend remaining with SDRMA for the upcoming 2027 plan year, which would be effective January 1, 2027.
DISCUSSION/ANALYSIS:
Health insurance premiums and related benefit costs continue to increase throughout the market; SDMRA plan costs will increase by about 10.6 % for the upcoming 2027 plan year, to provide a similar level of benefits to employees compared to 2026. Current trends see continued significant health care cost increases beyond 2027, creating significant risk to public agencies seeking to maintain employee benefit levels over time. The current increase is has been included in the recommended FY26-27 3CE Budget, and staff will continue evaluating the broader trends challenging the health care and benefits market.
In preparation for insurance renewals, staff researched the market, comparing SDRMA’s indicative rates and available benefit options with rates and several options of EPO’s, HMO’S, PPO’s and HDHP plans offered through Keenan for both Public Agency Coalition Enterprise (“PACE”) JPA and Municipalities Colleges Schools Insurance Group (“MCSIG”). Of the plans offered by Keenan, two were the most comparable to SDRMA in benefit design, but had higher projected out-of-pocket expenses for employees, compared to SDRMA. SRDMA’s indicative premiums were in the middle of the range of the 3 options compared (roughly $100k/year savings available with the cheaper option). That said, switching providers last year was a significant effort and the value of maintaining continuity with the current health plans was an important factor considered in the assessment of options. The SDRMA program provides a combination of coverage, benefits, pricing and administrative services that continues to meet the organization’s needs and notably, if 3CE were to withdraw from the SDRMA program, there is a 3-year waiting period before potentially returning. Given these factors, remaining with SDRMA is the recommended choice for 3CE. The program is expected to offer 3CE employees three primary medical options, two Blue Sheild PPOs and one Kaiser HMO. 3CE will continue to work with Keenan for 2027 ancillary benefits, including dental, vision, disability, and life insurance, as well as Employee Assistance Program, Flexible Spending Account, and Health Reimbursement accounts.
FISCAL IMPACT:
Healthcare premiums are increasing an average of 10.6% from 2026 to 2027 and are included within the recommended FY26-27 budget.
ATTACHMENT(S):
1. DRAFT Resolution No. OB-2026-17
2. DRAFT Memorandum of Understanding by and between SDRMA and 3CE
Special District Risk Management Authority Page 1:5 Tel 800.537.7790 Fax 916.231.4111
www.sdrma.org
MEMORANDUM OF UNDERSTANDING
THIS MEMORANDUM OF UNDERSTANDING (HEREAFTER “MEMORANDUM”) IS
ENTERED INTO BY AND BETWEEN THE SPECIAL DISTRICT RISK MANAGEMENT AUTHORITY (HEREAFTER “SDRMA”) AND THE PARTICIPATING PUBLIC ENTITY (HEREAFTER “ENTITY”) WHO IS SIGNATORY TO THIS MEMORANDUM.
WHEREAS, on August 1, 2006, SDRMA in its capacity as a member of Public Risk Innovation, Solutions and Management (PRISM) and having executed the Joint Powers Agreement (JPA) governing PRISM, was appointed administrator for the purpose of enrolling small public entities into the (PRISM) Health and/or Employee Benefits Small Group Program (hereinafter "Program"); and
WHEREAS, the terms and conditions of the PROGRAM as well as benefit coverage, rates, assessments, and premiums are governed by the PRISM Health Committee and/or PRISM Employee Benefits Committee for the Program (the "Committee") and not SDRMA; and WHEREAS, ENTITY desires to enroll and participate in the Program, acknowledging that SDRMA acts solely in an administrative capacity and does not establish Program terms.
NOW THEREFORE, SDRMA and ENTITY agree as follows:
1. DEFINITIONS. For purposes of this MEMORANDUM, unless the context otherwise requires, the following terms when capitalized have the respective meanings set out below and are applicable to the singular as well as to the plural forms of such terms and to the masculine as well as to the feminine and neuter genders of such terms. a. “Committee” means the PRISM Health Committee and/or PRISM Employee Benefits Committee for the Program.
b. “Coverage Documents” means, except as otherwise provided herein, coverage documents from each carrier outlining the coverage provided, including terms and conditions of coverage, are controlling with respect to the coverage of the Program and will be provided by SDRMA to each ENTITY. Documents will be made available through the online SDRMA Portal and be accessible to approved users of the ENTITY. c. “Program Participation Agreement” means the agreement issued by PRISM/AUS Underwriting to the Entity that details the final terms of acceptance and any special exceptions or terms that have been made a part of the underwriting approval and is required to be completed and executed in order to constitute full acceptance as a member of the PRISM Small Group Program.
Special District Risk Management Authority Page 2:5 Tel 800.537.7790 Fax 916.231.4111
www.sdrma.org
d. “Program” or “PRISM” means the Public Risk Innovation, Solutions and Management (PRISM) Health and/or Employee Benefits Small Group Program. e. “Program Documents” means the following: SDRMA Program Administrative Guidelines, SDRMA Resolution, Program Underwriting application and any required underwriting documents, Program approval, Program Underwriting & Eligibility Rules and Program Participation Agreement.
2. PURPOSE. ENTITY is signatory to this MEMORANDUM for the sole purpose of enrolling in the Program.
3. ENTRY INTO PROGRAM. ENTITY shall apply for participation in the Program by executing and all forms prescribed by SDRMA. SDRMA shall submit the completed forms to the Program's Underwriter who has the authority to accept or reject Entity’s application in its sole discretion based on the Program’s governing documents and in accordance with the Program’s eligibility guidelines.
4. MAINTENANCE OF EFFORT. Program provides health benefits to all active employees, retired employees, dependents of an active or retired employee and public officials of the ENTITY who satisfy requirements for participation. ENTITY public officials may participate in the Program only if they are currently being covered and their own ENTITY’s enabling act, plans and policies allow it. ENTITY must contribute at least the minimum percentage required by the eligibility requirements
5. PREMIUMS. ENTITY agrees and acknowledges that premiums and rates for the Program are set by the Committee and that SDRMA’s Administrative Fee is set by SDRMA For each billing cycle. ENTITY will remit the total monthly amount billed by SDRMA for each category of participants and the census of covered employees, public officials, dependents and retirees. PREMIUMs are based on a full month, and there are no partial months or prorated PREMIUMs. Enrollment for mid-year qualifying events and termination of coverage will be made in accordance with the SDRMA Program Administrative Guidelines.
Late Payment Penalties. ENTITY shall pay all PREMIUM invoices as billed to SDRMA, regardless of any changes to eligibility or adjustments to PREMIUMS that may occur during the billing month and not reflected in the PREMIUM invoice. SDRMA shall issue PREMIUM invoices to ENTITY prior to the coverage month in which they are due.
PREMIUM invoices are due by the due date stated on the invoice and considered delinquent thirty (30) calendar days from the due date. In addition to the outstanding balance due for any unpaid invoice, ENTITY shall be liable to SDRMA for a late payment penalty of 1% of the outstanding balance of any unpaid portion of such invoice effective (30) calendar days after the invoice due date. SDRMA reserves the right to terminate the
Special District Risk Management Authority Page 3:5 Tel 800.537.7790 Fax 916.231.4111
www.sdrma.org
MEMORANDUM and ENTITY’S Participation Agreement, including immediate cessation of all services under the Program, any time after it provides written notice to ENTITY of its failure to pay the amount due of any invoice.
6. BENEFITS. Benefits provided to ENTITY participants shall be as set forth in ENTITY’s Plan Summary for the Program and as agreed upon between the ENTITY and its recognized employee organizations as applicable. Not all plan offerings will be available to ENTITY, and plans requested by ENTITY must be submitted to Program underwriter for approval.
7. ASSESSMENTS AND DIVIDENDS. The Program annual premium, as approved by the Committee will be established at a level which is anticipated to provide adequate overall funding. The Program will directly manage surpluses and deficits. Premiums are targeted to fund expected claims (including incurred-but-not-reported (IBNR) and run-out), reinsurance (if any), Program/administrative expenses, and any reserve or margin adopted by the Committee.
If Program funds are insufficient (including funding IBNR), the Committee may impose premium assessments on all applicable participating Entities, consistent with the JPA, including ENTITY signing this MEMORANDUM. Entities that have withdrawn from the Program are liable for assessments attributable to plan year(s) in which they participated.
After appropriate reserves and obligations are funded and any Committee-approved margin is achieved, the Committee may declare a dividend or premium credit, using a formula recommended by the Program Underwriters and actuary.
8. WITHDRAWAL. ENTITY may withdraw from this MEMORANDUM and terminate its Program Participation Agreement for a subsequent calendar year subject to the following condition: ENTITY shall notify SDRMA in writing of its intent to withdraw from this MEMORANDUM and terminate its Program Participation Agreement at least 120 days prior to January 1st of the subsequent calendar year in which it shall be effective.
No withdrawal shall become effective until December 31 of the year that notice of termination is received. ENTITY may rescind its notice of intent to withdraw and terminate no later than October 1st. Once ENTITY withdraws from the Program, there is a 3-year waiting period to come back into the Program, and the ENTITY will be subject to underwriting approval.
9. ARBITRATION OF DISPUTES. To the extent permitted by law, all controversies between the ENTITY and SDRMA that may arise out of or relate to any of the services provided by SDRMA under the MEMORANDUM, or the construction, performance or breach of this or any other agreement between the ENTITY and SDRMA, whether entered into prior to, on or subsequent to the date hereof, shall be settled by binding arbitration in the City of
Special District Risk Management Authority Page 4:5 Tel 800.537.7790 Fax 916.231.4111
www.sdrma.org
Sacramento, California, under the Commercial Arbitration Rules of the American Arbitration Association. Judgment upon any award rendered by the arbitrator(s) shall be final and may be entered into any court having jurisdiction.
10. GOVERNING LAW. This MEMORANDUM shall be governed in accordance with the laws of the State of California.
11. VENUE. Venue for any dispute or enforcement shall be in the City of Sacramento, California.
12. ATTORNEY FEES. The prevailing party in any dispute shall be entitled to an award of reasonable attorney fees.
13. COMPLETE AGREEMENT. This MEMORANDUM together with the related Program Documents constitutes the full and complete agreement of the ENTITY.
14. SEVERABILITY. Should any provision of this MEMORANDUM be judicially determined to be void or unenforceable, such determination shall not affect any remaining provision.
15. AMENDMENT OF MEMORANDUM; WAIVER. This MEMORANDUM may not be modified, nor shall any provision hereof be waived or amended, except in a writing duly signed by authorized representatives of SDRMA and ENTITY. The failure of either Party to enforce at any time any provision of the MEMORANDUM shall not be construed to be a waiver of such provision, nor in any way to affect the validity of the MEMORANDUM or the right of either party thereafter to enforce each and every such provision. If ENTITY fails or refuses to execute an amendment to this MEMORANDUM by the deadline included in written notice of SDRMA’S execution of said amendment, SDRMA reserves the right to terminate this MEMORANDUM and ENTITY’S Program Participation Agreement effective as of the next annual renewal date.
16. EFFECTIVE DATE. This MEMORANDUM shall become effective on the later of the first date of coverage for the ENTITY or the last date of signing of this MEMORANDUM by the Chief Executive Officer or Board President of SDRMA and the authorized person for the ENTITY.
17. EXECUTION IN COUNTERPARTS. This MEMORANDUM may be executed in several counterparts, each of which shall be an original, all of which shall constitute but one and the same instrument.
In Witness Whereof, the undersigned have executed the MEMORANDUM as of the date set forth below.
Special District Risk Management Authority Page 5:5 Tel 800.537.7790 Fax 916.231.4111
www.sdrma.org
Dated: By:
Special District Risk
Management Authority
Dated: By:
ENTITY Name
RESOLUTION NO. OB-2026-17
A RESOLUTION OF THE OF THE (GOVERNING BODY) OF CENTRAL COAST
COMMUNITY ENERGY APPROVING THE FORM OF AND AUTHORIZING THE
EXECUTION OF A MEMORANDUM OF UNDERSTANDING AND AUTHORIZING PARTICIPATION IN THE SPECIAL DISTRICT RISK MANAGEMENT AUTHORITY’S
HEALTH BENEFITS PROGRAM
WHEREAS, Central Coast Community Energy, a public agency duly organized and existing under and by virtue of the laws of the State of California (the “ENTITY”), has determined that it is in the best interest and to the advantage of the ENTITY to participate in the Health Benefits Program offered by Special District Risk Management Authority (the “Authority”); and WHEREAS, the Authority was formed in 1986 in accordance with the provisions of California Government Code 6500 et seq., for the purpose of providing risk financing, risk management programs and other coverage protection programs; and
WHEREAS, participation in Authority programs requires the ENTITY to execute and enter into a Memorandum of Understanding which states the purpose and participation requirements for the Health Benefits Program; and
WHEREAS, all acts, conditions and things required by the laws of the State of California to exist, to have happened and to have been performed precedent to and in connection with the consummation of the transactions authorized hereby do exist, have happened and have been performed in regular and due time, form and manner as required by law, and the ENTITY is now duly authorized and empowered, pursuant to each and every requirement of law, to consummate such transactions for the purpose, in the manner and upon the terms herein provided.
NOW, THEREFORE, BE IT RESOLVED BY THE GOVERNING BODY OF THE ENTITY AS FOLLOWS:
Section 1. Findings. The ENTITY’s Governing Body hereby specifically finds and determines that the actions authorized hereby relate to the public affairs of the ENTITY.
Section 2. Memorandum of Understanding. The Memorandum of Understanding, to be executed and entered into by and between the ENTITY and the Authority, in the form presented at this meeting and on file with the ENTITY’s Secretary, is hereby approved. The ENTITY’s Governing Body and/or Authorized Officers (“The Authorized Officers”) are hereby authorized and directed, for and in the name and on behalf of the ENTITY, to execute and deliver to the Authority the Memorandum of Understanding.
Section 3. Program Participation. The ENTITY’s Governing Body approves participating in the Special District Risk Management Authority’s Health Benefits Program.
Section 4. Severability. If any provision of this resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the resolution which can be given effect without the invalid provision or application, and to this end the provisions of this resolution are severable.
Section 5. Other Actions. The Authorized Officers of the ENTITY are each hereby authorized and directed to execute and deliver any and all documents which are necessary in order to consummate the transactions authorized hereby and all such actions heretofore taken by such officers are hereby ratified, confirmed and approved.
Section 6. Effective Date. This resolution shall take effect immediately upon its passage.
PASSED AND ADOPTED this _____ day of __________________, 20_____ by the following vote:
AYES:
NOES:
ABSENT:
Name
Title
ENTITY Secretary
Staff Report Item 9
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Peter Berridge, Communications Manager
SUBJECT: Approve and authorize CEO to amend the agreement with Yellow Bus LLC, for Marketing & Communications Support Services with an additional term of three years, through September 30, 2029, and an additional $2,172,750 for a total not to exceed amount of $4,571,250.
DATE: September 16, 2026
RECOMMENDATION:
This report recommends the Operations Board approve and authorize the CEO to amend the agreement with Yellow Bus LLC, for Marketing & Communications Support Services, for an additional term of three years, through September 30, 2029, and $2,172,750, for a total not to exceed amount of $4,571,250.
BACKGROUND:
In 2023, staff conducted a Request for Proposals from qualified advertising, graphic design, marketing, and communications services vendors, awarding a three-year contract to Yellow Bus, LLC (Yellow Bus) based in Santa Cruz, CA. This contract expires September 30, 2026. Staff seek to renew this contract for a term of three years to maintain continuity in marketing and communication services and to expand the impact and reach of future customer outreach campaigns.
DISCUSSION/ANALYSIS:
As 3CE has expanded its customer base and customer offerings, the agencywide need for professional graphic design, marketing, and communications support services has grown. Past advertising campaigns have succeeded in driving more customers to 3CE’s website and have
increased visitor engagement. However, the current customer campaigns are conducted over a 2-to-3-month period each year, with no agency messaging reaching customers during the remaining nine to ten months. The result is campaigns that are effective during their duration, but which fall short the standard for annual average impressions per customer required when seeking to build recognition and identity awareness for a public-serving utility provider.
In addition to maintaining the current contract scope, staff recommend an increase in advertising frequency and an expansion of targeted media outlets, along with additional resources to further other marketing and communications support services, such as graphic design.
3CE’s 2026 annual customer survey showed a five percent growth in customer awareness, the most significant increase in five years. Program participation has also grown in step with advertising campaign performance metrics over the past three years. Increasing the advertising budget will contribute to greater gains in these areas, and allow the agency to employ new advertising channels, strategies, and tactics.
FISCAL IMPACT:
Under the current contract, annual costs for advertising, graphic design, marketing, and communications support services are $799,500. With the proposed augmentation to cover increased graphic design needs, bolster advertising, and maintain general marketing and communications support services, the annual costs would increase by $525,500 for an annual total of $1,325,000.
Within the $525,500 overall increase, advertising placement costs will increase by $342,500, and annual costs for graphic design, marketing, and communications support services will increase by $183,000. Over the course of the proposed three-year term, the revised not to exceed amount for the proposed amendment would be $4,571,250, inclusive of a 15% contingency.
CONCLUSION:
Approval of the recommended increases to advertising, graphic design, marketing, and communications support services will meet growing agency needs, enable year-round advertising, increase the frequency of advertising, and enable opportunities to leverage new
advertising channels, strategies, and tactics to continue growing awareness and program participation.
ATTACHMENTS:
1) Amendment 1 to Yellow Bus LLC Agreement
2) 2023 Yellow Bus LLC Contract
Amendment No. 1 To Agreement Between Yellow Bus LLC and 3CE 1 AMENDMENT NO. 1
TO SERVICES AGREEMENT BETWEEN YELLOW BUS LLC AND
CENTRAL COAST COMMUNITY ENERGY
This Amendment No.1 to the Services Agreement (“Agreement”) which was effective on September 15, 2023, is entered into by and between CENTRAL COAST COMMUNITY ENERGY (“CCCE”) and Yellow Bus LLC (hereinafter “CONTRACTOR”); (3CE and CONTRACTOR are referred to individually herein as “Party,” or collectively, as the “Parties”), with respect to the following:
RECITALS
WHEREAS, 3CE and CONTRACTOR entered into the Agreement on September 27, 2023, to provide goods and/or services described in Exhibit A; and WHEREAS, 3CE seeks to extend the term of the Agreement to September 30, 2029.
WHEREAS, 3CE seeks to amend the Not to Exceed amount from $2,398,500 to $4,571,250.
AGREEMENT
NOW, THEREFORE, the Parties agree to amend the Agreement as follows:
The Agreement is hereby amended on the terms and conditions as set forth in the Agreement, except as specifically set forth below.
1. Amend the last sentence of Section 2.1 to read as follows:
The total amount payable by 3CE to CONTRACTOR under this Agreement shall not exceed the sum of $4,571,250.
2. Amend the first sentence of Section 3.1 to read as follows:
The term of this Agreement is from the date of execution until September 30, 2029, unless sooner terminated pursuant to the terms of this Agreement.
3. Replace Exhibit A with Exhibit A-1, attached and incorporated herein.
4. Replace Exhibit B with Exhibit B-1, attached and incorporated herein.
5. Except as provided herein, all remaining terms, conditions and provisions of the Agreement are unchanged and unaffected by this Amendment No. 1 and shall Contract: C&O-2026.0008
Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
Amendment No. 1 To Agreement Between Yellow Bus LLC and 3CE 2 continue in full force and effect.
6. A copy of this Amendment No. 1 shall be attached to the Original Agreement.
7. This Amendment No. 1 shall be effective September 30, 2026.
IN WITNESS WHEREOF, the parties hereto have set their hands the day and year first above written.
Yellow Bust LLC Central Coast Community Energy
BY:__________________________________ BY:______________________________________ Title: Austin Sherwood, President Robert M. Shaw, CEO
Date: ____________________________ Date: ____________________________ Approved as to Form
BY:___________________________________
Charles McGee, General Counsel
Date: ____________________________
Approved as to Financial Terms
BY:_____________________________________
Chris Rich, Vice President, Business Operations
Date: ____________________________
Contract: C&O-2026.0008
Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89 9/4/2026
9/6/2026
9/4/2026 3 Contract Number: C&O-2021-0028
EXHIBIT A-1: Scope of Services
Yellow Bus-3CE Annual Scope
Category Description Due Date
Media Buys - 4 Campaigns Digital, Broadcast, Social - Eng / Span Media Placements TBD October 1st each year of contract term excluding 2029 Media Placements TBD January 1st each year of contract term Media Placements TBD April 1st each year of contract term Media Placements TBD July 1st each year of contract term Advertising Assets - 4 Campaigns Images, Video, Banners, Copy - Eng / Span Q1 Creative Asset Package October 1st each year of contract term excluding 2029 Q2 Creative Asset Package January 1st each year of contract term Q3Creative Asset Package April 1st each year of contract term Q4 Creative Asset Package July 1st each year of contract term Video Assets - 4 Campaigns :15s/:30s Units, Long Format - Eng / Span Filming & Production October 1st each year of contract term excluding 2029 Filming & Production January 1st each year of contract term Filming & Production April 1st each year of contract term Filming & Production July 1st each year of contract term Photography Assets
Video Shoots Ongoing
Annual Board Meeting TBD
Annual Design Assets Due Date
3Cprime Report TBD
Annual Impact Reports Eng / Span March 1st of each year Energy Program Flyers [12] Eng / Span Ogoing
Supplier Diversity Report March 1st
Joint Rate Mailers
June 1st each year of contract term unless otherwise
directed by 3CE staff
Power Content Label
July 1st each year of contract term unless otherwise
directed by 3CE staff
Budget Book TBD
Move In / Move Out Postcard Ongoing
New Rates Notification TBD
Other Design Assistance
Updates to existing digital and print
materials, new design projects as-needed, one-off requests, additional rounds of review and digital design
support Ongoing
Campaign Reporting
Ads in Action Ongoing
Visual Campaign Reports Ongoing
Other Reporting Assistance Ongoing
Survey Due Date
FM3 Customer Survey TBD
Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
9/4/2026 4 Contract Number: C&O-2021-0028
EXHIBIT B-1: PROPOSED BUDGET
Yellow Bus-3CE Annual Scope
Category Description Budget
Media Buys - 4 Campaigns Digital, Broadcast, Social - Eng / Span $ 750,000.00 Media Placements TBD
Media Placements TBD
Media Placements TBD
Media Placements TBD
Advertising Assets - 4 Campaigns Images, Video, Banners, Copy - Eng / Span $ 160,000.00 Creative Asset Package
Creative Asset Package
Creative Asset Package
Creative Asset Package
Video Assets - 4 Campaigns :15s/:30s Units, Long Format - Eng / Span $ 185,000.00 Filming & Production
Filming & Production
Filming & Production
Filming & Production
Photography Assets $ 15,000.00
Video Shoots
Annual Board Meeting
Annual Design Assets $ 160,000.00
3CE Prime Report
Annual Impact Reports Eng / Span
Energy Program Flyers [12] Eng / Span
Supplier Diversity Report
Joint Rate Mailers
Power Content Label
Budget Book
Move In / Move Out Postcard
New Rates Notification
Other Design Assistance
Updates to existing digital and print materials,
new design projects as-needed, one-off
requests, additional rounds of review and
digital design support
Campaign Reporting $ 15,000.00
Ads in Action
Visual Campaign Reports
Other Reporting Assistance
Survey $ 40,000.00
FM3 Customer Survey
Yearly Total $ 1,325,000.00
Contingency $ 198,750.00
Yearly Total w/Contingency $ 1,523,750.00
3-Year Not-to-Exceed Total w/ Contingency $ 4,571,250.00 Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
9/26/2023 1 Contract Number: C&O-2023-0041
CENTRAL COAST COMMUNITY ENERGY
STANDARD SERVICES AGREEMENT
This Agreement is made by and between CENTRAL COAST COMMUNITY ENERGY (“3CE”) and Yellow Bus LLC, a California limited liability company (hereinafter “CONTRACTOR”) with its principal place of business located at 207 Monterey Avenue, Suite 100, Capitola, CA 95010. 3CE and CONTRACTOR may be individually referred to herein as “Party” or collectively as “Parties.” In consideration of the mutual covenants and conditions set forth in this Agreement, the Parties agree as follows:
1. GENERAL DESCRIPTION
1.1. 3CE hereby engages CONTRACTOR to perform, and CONTRACTOR hereby agrees to perform, the services described in Exhibits A and B in conformity with the terms of this Agreement.
The goods and/or services are generally described as: Facilitation and Change Management Support.
2. PAYMENT PROVISIONS
2.1. 3CE shall pay the CONTRACTOR in accordance with the payment provisions set forth in Exhibit C, subject to the limitations set forth in this Agreement. The total amount payable by 3CE to CONTRACTOR under this Agreement shall not exceed the sum of $2,398,500.
3. TERM OF AGREEMENT
3.1. The term of this Agreement is from September 15, 2023 until September 30, 2026 unless sooner terminated pursuant to the terms of this Agreement. This Agreement is of no force or effect until signed by both the CONTRACTOR and 3CE, with 3CE’s execution to be last in time.
CONTRACTOR may not commence work under this Agreement before 3CE signs this Agreement.
3.2. 3CE reserves the right to cancel this Agreement, or any extension of this Agreement, without cause with thirty (30) days written notice, or with cause immediately.
4. SCOPE OF SERVICES AND ADDITIONAL PROVISIONS
4.1. The following attached exhibits are incorporated herein by reference and constitute a part of this Agreement:
4.1.1.Exhibit A: Scope of Services
4.1.2. Exhibit B: Proposed Budget
4.1.3.Exhibit C: Payment Terms
4.1.4.Exhibit D: Procedures for Unauthorized Release of Covered Information DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
9/26/2023 2 Contract Number: C&O-2023-0041
5. PERFORMANCE STANDARDS
5.1. CONTRACTOR warrants that CONTRACTOR and CONTRACTOR’s agents, employees and subcontractors performing services under this Agreement are specially trained, experienced, competent, and appropriately licensed to perform the work and deliver the services required under this Agreement and are not employees of 3CE or immediate family of an employee of 3CE.
5.2. CONTRACTOR and CONTRACTOR’s agents, employees and subcontractors shall perform all work in a safe and skillful manner and in compliance with all applicable laws and regulations. All work performed under this Agreement that is required by law to be performed or supervised by licensed personnel shall be performed in accordance with such licensing requirements.
5.3. CONTRACTOR shall furnish, at its own expense, all materials, equipment, and personnel necessary to carry out the terms of this Agreement, except as otherwise specified in this Agreement. CONTRACTOR shall not use 3CE premises, property (including equipment, instruments, or supplies) or personnel for any purpose other than in the performance of its obligations under this Agreement.
6. PAYMENT CONDITIONS
6.1. Prices shall remain firm for the initial term of the Agreement and, thereafter, may be adjusted annually as provided herein. 3CE does not guarantee any minimum or maximum amount of dollars to be spent under this Agreement.
6.2. Negotiations for rate changes shall be commenced, by CONTRACTOR, a minimum of ninety days (90) prior to the expiration of the Agreement. Rate changes are not binding unless mutually agreed upon in writing by 3CE and the CONTRACTOR.
6.3. Invoices shall be submitted monthly on a form acceptable to 3CE and provide sufficient detail, as determined by 3CE, of services rendered for the invoiced period.
6.4. 3CE shall certify the invoice for payment in either the amount requested, or in such other amount as 3CE determines is due in conformity with this Agreement. Invoices shall be certified and paid within 45 days of submission to 3CE.
7. TERMINATION
7.1. During the term of this Agreement, 3CE may terminate the Agreement for any reason by giving written notice of termination to the CONTRACTOR at least thirty (30) days prior to the effective date of termination. Such notice shall set forth the effective date of termination. In the event of such termination, the amount payable under this Agreement shall be reduced in proportion to the services provided prior to the date of termination.
7.2. 3CE may cancel and terminate this Agreement for good cause effective immediately upon written notice to CONTRACTOR. “Good cause” includes the failure of CONTRACTOR to perform DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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the required services at the time and in the manner provided under this Agreement. If 3CE terminates this Agreement for good cause, 3CE may be relieved of the payment of any consideration to CONTRACTOR, and 3CE may proceed with the work in any manner, which 3CE deems proper. The cost to 3CE shall be deducted from any sum due the CONTRACTOR under this Agreement.
8. INDEMNIFICATION
8.1. CONTRACTOR shall indemnify, defend, and hold harmless 3CE, its Directors, Board members, officers, agents and employees from any claim, liability, loss, injury or damage arising out of, or in connection with, performance of this Agreement by CONTRACTOR and/or its agents, employees or sub-contractors, excepting only loss, injury or damage caused by the sole negligence or willful misconduct of personnel employed by 3CE. It is the intent of the parties to this Agreement to provide the broadest possible coverage for 3CE. The CONTRACTOR shall reimburse 3CE for all costs, attorneys’ fees, expenses and liabilities incurred with respect to any litigation in which the CONTRACTOR is obligated to indemnify, defend and hold harmless 3CE under this Agreement.
8.1.1.The CONTRACTOR’s selection of counsel to satisfy CONTRACTOR’s defense and hold harmless obligation as set forth in section 8.1 above, shall be subject to review and approval by 3CE.
8.1.2.Notwithstanding any other provision of this Agreement, 3CE shall be entitled to participate fully in the defense of any claim or action.
9. INSURANCE REQUIREMENTS
9.1. Prior to commencement of this Agreement, the CONTRACTOR shall provide a “Certificate of Insurance” certifying that coverage as required herein has been obtained. Individual endorsements executed by the insurance carrier shall accompany the certificate. In addition, the CONTRACTOR upon request shall provide a certified copy of the policy or policies. This verification of coverage shall be sent to 3CE.
9.2. Without limiting CONTRACTOR’s duty to defend and indemnify, CONTRACTOR shall maintain in effect throughout the term of this Agreement a policy or policies of insurance with the following minimum limits of liability:
9.2.1.1. Commercial General Liability Insurance, including but not limited to premises and operations, including coverage for Bodily Injury and Property Damage, Personal Injury, Contractual Liability, Broad form Property Damage, Independent Contractors, Products and Completed Operations, and cross-liability with a combined single limit for Bodily Injury and Property Damage of not less than $1,000,000 per occurrence, and $1,000,000 in the aggregate.
9.2.1.2. Business Automobile Liability Insurance, covering all motor vehicles, including owned, leased, non-owned, and hired vehicles, used in providing services under this DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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Agreement, with a combined single limit for Bodily Injury and Property Damage of not less than $500,000 per occurrence.
9.2.1.3. Workers’ Compensation Insurance, if CONTRACTOR employs others in the performance of this Agreement, in accordance with California Labor Code section 3700 and with Employer’s Liability limits not less than $1,000,000 each person, $1,000,000 each accident and $1,000,000 each disease.
9.2.1.4. Professional Liability Insurance, if required for the professional services being provided, (e.g., those persons authorized by a license to engage in a business or profession regulated by the California Business and Professions Code), in the amount of not less than $1,000,000 per claim and $1,000,000 in the aggregate, to cover liability for malpractice or errors or omissions made in the course of rendering professional services. If professional liability insurance is written on a “claims-made” basis rather than an occurrence basis, the CONTRACTOR shall, upon the expiration or earlier termination of this Agreement, obtain extended reporting coverage (“tail coverage”) with the same liability limits. Any such tail coverage shall continue for at least three years following the expiration or earlier termination of this Agreement.
9.3. Unless otherwise specified by this Agreement, all such insurance shall be written on an occurrence basis, or, if the policy is not written on an occurrence basis, such policy with the coverage required herein shall continue in effect for a period of three years following the date CONTRACTOR completes its performance of services under this Agreement.
9.4. Commercial general liability policy shall provide an endorsement naming 3CE, its Directors, Board members, officers, agents, and employees as Additional Insureds with respect to liability arising out of the CONTRACTOR’S work, including ongoing and completed operations, and shall further provide that such insurance is primary insurance to any insurance or self-insurance maintained by 3CE and that the insurance of the Additional Insureds shall not be called upon to contribute to a loss covered by the CONTRACTOR’S insurance.
10. RECORD AND CONFIDENTIALITY
10.1. CONTRACTOR and its officers, employees, agents, and subcontractors shall comply with any and all federal, state, and local laws, which provide for the confidentiality of records and other information. CONTRACTOR shall not disclose any confidential records or other confidential information received from 3CE or prepared in connection with the performance of this Agreement, unless 3CE specifically permits CONTRACTOR to disclose such records or information. CONTRACTOR shall promptly transmit to 3CE any and all requests for disclosure of any such confidential records or information. CONTRACTOR shall not use any confidential information gained by CONTRACTOR in the performance of this Agreement except for the sole purpose of carrying out CONTRACTOR’s obligations under this Agreement.
10.1.1. Confidential Information specifically includes Covered Information (as defined in Exhibit D), including Protected Personal Information(“PPI”) that identifies, relates to, DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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describes, or is capable of being associated with, or could reasonably be linked, directly or indirectly, with a consumer, household, or customer account. All such Covered Information and PPI must fully be protected from disclosure as set forth in California Public Utility Commission Decision D.12-08-045. In the event of an unauthorized release of Covered Information and PPI, CONTRACTOR shall comply with Exhibit D, Procedures for Unauthorized Release of Covered Information.
10.2. Upon expiration or termination of this Agreement, CONTRACTOR shall return to 3CE any 3CE records which CONTRACTOR used or received from 3CE to perform services under this Agreement.
10.3. CONTRACTOR shall prepare, maintain, and preserve all reports and records that may be required by federal, state, and local rules and regulations related to services performed under this Agreement. CONTRACTOR shall maintain such records for a period of at least three years after receipt of final payment under this Agreement. If any litigation, claim, negotiation, audit exception, or other action relating to this Agreement is pending at the end of the three-year period, then CONTRACTOR shall retain said records until such action is resolved.
10.4. 3CE shall have the right to examine, monitor and audit all records, documents, conditions, and activities of the CONTRACTOR and its subcontractors related to services provided under this Agreement. Pursuant to Government Code section 8546.7, if this Agreement involves the expenditure of public funds in excess of $10,000, the parties to this Agreement may be subject, at the request of 3CE or as part of any audit of 3CE, to the examination and audit of the State Auditor pertaining to matters connected with the performance of this Agreement for a period of three years after final payment under the Agreement.
10.5. 3CE shall have a royalty-free, exclusive and irrevocable license to reproduce, publish, and use, and authorize others to do so, all original computer programs, writings, sound recordings, pictorial reproductions, drawings, and other works of similar nature produced in the course of or under this Agreement. CONTRACTOR shall not publish any such material without the prior written approval of 3CE.
11. NON-DISCRIMINATION
11.1. During the performance of this Agreement, CONTRACTOR, and its subcontractors, shall not unlawfully discriminate against any person because of race, religious creed, color, sex, national origin, ancestry, physical disability, mental disability, medical condition, marital status, age (over 40), or sexual orientation, either in CONTRACTOR’s employment practices or in the furnishing of services to recipients. CONTRACTOR shall ensure that the evaluation and treatment of its employees and applicants for employment and all persons receiving and requesting services are free of such discrimination. CONTRACTOR and any subcontractor shall, in the performance of this Agreement, fully comply with all federal, state, and local laws and regulations which prohibit discrimination. The provision of services primarily or exclusively to DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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such target population as may be designated in this Agreement shall not be deemed to be prohibited discrimination.
12. INDEPENDENT CONTRACTOR
12.1. In the performance of work, duties, and obligations under this Agreement, CONTRACTOR is at all times acting and performing as an independent contractor and not as an employee of 3CE. No offer or obligation of permanent employment with 3CE and CONTRACTOR shall not become entitled by virtue of this Agreement to receive from 3CE any form of employee benefits including but not limited to sick leave, vacation, retirement benefits, workers’ compensation coverage, insurance or disability benefits. CONTRACTOR shall be solely liable for and obligated to pay directly all applicable taxes, including federal and state income taxes and social security, arising out of CONTRACTOR’s performance of this Agreement. In connection therewith, CONTRACTOR shall defend, indemnify, and hold 3CE harmless from any and all liability which 3CE may incur because of CONTRACTOR’s failure to pay such taxes.
13. NOTICES
13.1. Notices required under this Agreement shall be delivered personally or by first-class, postage pre-paid mail to 3CE and CONTRACTOR’S contract administrators at the addresses listed below:
Central Coast Community Energy CONTRACTOR
Chief Financial Officer Yellow Bus LLC
70 Garden Court, Suite 300 207 Monterey Avenue, Suite 100 Monterey, CA 93940 Capitola, CA 95010
14. MISCELLANEOUS PROVISIONS
14.1. Conflict of Interest. CONTRACTOR represents that it presently has no interest and agrees not to acquire any interest during the term of this Agreement, which would directly, or indirectly conflict in any manner or to any degree with the full and complete performance of the services required to be rendered under this Agreement.
14.2. Amendment. This Agreement may be amended or modified only by an instrument in writing signed by 3CE and the CONTRACTOR.
14.3. Waiver. Any waiver of any terms and conditions of this Agreement must be in writing and signed by 3CE and the CONTRACTOR. A waiver of any of the terms and conditions of this Agreement shall not be construed as a waiver of any other terms or conditions in this Agreement.
14.4. Contractor. The term “CONTRACTOR” as used in this Agreement includes CONTRACTOR’s officers, agents, and employees acting on CONTRACTOR’s behalf in the performance of this Agreement.
DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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14.5. Disputes. CONTRACTOR shall continue to perform under this Agreement during any dispute.
14.6. Assignment and Subcontracting. The CONTRACTOR shall not assign, sell, or otherwise transfer its interest or obligations in this Agreement without the prior written consent of 3CE None of the services covered by this Agreement shall be subcontracted without the prior written approval of 3CE. Notwithstanding any such subcontract, CONTRACTOR shall continue to be liable for the performance of all requirements of this Agreement.
14.7. Successors and Assigns. This Agreement and the rights, privileges, duties, and obligations of 3CE and CONTRACTOR under this Agreement, to the extent assignable or delegable, shall be binding upon and inure to the benefit of the parties and their respective successors, permitted assigns, and heirs.
14.8. Compliance with Applicable Law. The parties shall comply with all applicable federal, state, and local laws and regulations in performing this Agreement.
14.9. Headings. The headings are for convenience only and shall not be used to interpret the terms of this Agreement.
14.10. Time is of the Essence. Time is of the essence in each and all of the provisions of this Agreement.
14.11. Governing Law. This Agreement shall be governed by and interpreted under the laws of the State of California.
14.12. Non-exclusive Agreement. This Agreement is non-exclusive and both 3CE and CONTRACTOR expressly reserve the right to contract with other entities for the same or similar services.
14.13. Construction of Agreement. 3CE and CONTRACTOR agree that each party has fully participated in the review and revision of this Agreement and that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement or any amendment to this Agreement.
14.14. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same Agreement.
14.15. Authority. Any individual executing this Agreement on behalf of 3CE or the CONTRACTOR represents and warrants hereby that he or she has the requisite authority to enter into this Agreement on behalf of such party and bind the party to the terms and conditions of this Agreement.
14.16. Integration. This Agreement, including the exhibits, represent the entire Agreement between 3CE and the CONTRACTOR with respect to the subject matter of this Agreement and shall supersede all prior negotiations, representations, or agreements, either written or oral, DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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between 3CE and the CONTRACTOR as of the effective date of this Agreement, which is the date that 3CE signs the Agreement.
14.17. Interpretation of Conflicting Provisions. In the event of any conflict or inconsistency between the provisions of this Agreement and the Provisions of any exhibit or other attachment to this Agreement, the provisions of this Agreement shall prevail and control.
SIGNATURE OF THE PARTIES:
Yellow Bus LLC
BY:________________________________
Austin Sherwood, President
Date: ____________________________
Central Coast Community Energy
BY:____________________________________
Robert Shaw, CEO
Date: ____________________________
Approved as to Form
BY:______________________________________
Charles McKee, General Counsel
Date: ____________________________
Approved as to Financial Terms
BY:______________________________________
Dewayne Woods, Chief Financial Officer
Date: ____________________________
DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 9/26/2023
DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 9/27/2023
9/27/2023
DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D 10/19/2023
Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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Exhibit A: Scope of Services
1. PROJECT MANAGEMENT
• Execute collaboration with 3CE staff regarding project planning and timelines, production, creative direction, messaging, and budget related to all services listed in this RFP. • Upon receiving approval from designated 3CE staff after project kickoff and again after a maximum of 2 project revisions, manage all marketing strategy implementation and brand management, media buying, graphic design, customer survey, printing and mailing, translation, video production and photography projects at strategic direction of 3CE staff. • Provide services (this is preferred) or source independently as needed to fulfill 3CE needs for marketing strategy and brand management, media buying, graphic design, customer survey, management of existing 3CE print and mailing services vendor, translation, video production and photography projects.
• Provide timely written monthly updates that include spending vs. forecasted budget, progress reports on current projects, lead times and planning for upcoming projects. • Duties and responsibilities shall include:
o Supervising and leading projects for timely deliverables and campaign execution o Receiving direction from and collaborating with 3CE staff o Management of sub-contractors
o Managing the project team and delegating tasks
o Conducting team and planning meetings
o Providing reports on project progress as required
o Ensuring project timeline and budget are adhered to
o Managing performance and metric measurement
2. MARKETING STRATEGY IMPLEMENTATION & BRAND MANGEMENT
o In collaboration with 3CE staff and based on 3CE’s existing marketing strategy, conceive and deliver annual Marketing and Advertising Plan document that outlines campaigns, audiences, timeline, assets/resources needed, message focus, estimated costs for billable deliverables, and identifies overall performance metrics. o With a focus on cohesive design as well as consistent message, tone and portrayal of 3CE values, this plan will leverage existing brand message and value proposition to meet 3CE Communications and Outreach Department annual objectives and further agency’s over-arching goals.
o Per the Marketing and Advertising Plan, manage the production of and deliver all related marketing and brand assets and resources.
DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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3. ADVERTISING/MEDIA PLANNING, BUYING, AND REPORTING
At the direction of 3CE staff, CONTRACTOR will be responsible for media buying and creation of all related assets. This includes, but is not limited to campaign planning, negotiating, ad design and scripts, campaign placement, maintaining, monitoring, and adjusting (if needed) the advertising campaigns, monthly reporting, and commercial traffic management.
Also included isinvoice review and discrepancy management, consolidation of all advertising invoices into one single itemized monthly invoice that follows 3CE budget coding structure, and pre-payment of related ad buys on behalf of 3CE.
The overall 3-year budget for all advertising (not including related graphic design, video production, etc.) is not to exceed $1,222,500.
Advertising Plan and all invoices will identify which of the following campaigns any advertisement is supporting:
1) Enrollment
2) Brand Awareness
3) Energy Programs - General
4) Electrify Your Ride (Energy Program)
5) Electrify Your Home (Energy Program)
6) Ag Electrification (Energy Program)
7) Demand Side Management (Energy Program)
8) Community Workshops
9) Miscellaneous/TBD
Draft Advertising Plan - Completed by 10/2/23
The Preliminary Advertising Plan will be a layout of the proposed plan based on quantitative and qualitative research, including mediums, timing, and advertising spend. Preliminary Advertising as well as subsequent advertising will be determined. The Preliminary Advertising Plan will be reviewed by 3CE staff and approved upon incorporation of staff feedback.
Advertising Plan Rate Negotiations - Completed by 10/16/23 Once the Preliminary Advertising Plan is approved by 3CE staff, CONTRACTOR negotiates the best possible deal with advertising vendors to implement the approved 3CE Preliminary Advertising Plan.
Final Advertising Plan - Completed for Final Approval by 10/16/23 This Final Advertising Plan will include a complete breakdown of every portion of the campaign, including but not limited to rates, total advertisements, impressions, reach, frequency, and line by line costs. The Final Advertising Plan will be reviewed by 3CE staff and approved only after staff feedback is incorporated.
DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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Monthly Reporting, Billing, and Confirmations - Completed 15 days after month-end of every month advertising is booked
At the end of each month, CONTRACTOR will review all invoices to certify that the campaigns were run according to plan and that the billing is correct. 3CE will receive the certified advertising invoice no later than 15 days after month-end. CONTRACTOR will also provide reporting as to how the campaign is progressing. Such reporting will include a breakdown of traditional digital advertising reporting (click-throughs, etc.), related 3CE website analytics, ratings updates from traditional media (if available), and an overall campaign summation. Reporting will breakdown the spending for campaigns related to the following: 2021 Enrollment, Energy Programs, Name Change, Public Safety Power Shutoff, Cost of Service Rate Structure, Re-enrollment, or Miscellaneous.
Plan Adjustment - Completed 25 days after month-end of every month advertising is booked Following consultation with, and approval of, 3CE staff, CONTRACTOR will make any adjustment necessary to the campaigns by the 25th day after month-end. These adjustments will be based on how each part of the campaign is progressing to ensure maximum results.
4. GRAPHIC DESIGN – see Exhibit B
5. CUSTOMER SURVEYS
One (1) customer survey per year – totaling 3 unique surveys for duration of contract – each comprised of minimum 500 interviews (of which minimum 100 customers identify as Spanish speaking and minimum 100 customers enrolled in CARE/FERA financial assistance programs) conducted among active customers in the 3CE service area using a dual-mode approach (telephone and online interviewing) in English and/or Spanish, with contact information provided by 3CE.
These prices are comprehensive, and include all costs for questionnaire design, sample acquisition and preparation, programming, interviewing, data entry and analysis, and reporting.
Research Methodology
Dual-mode residential customer survey, with participants contacted via email, landline and wireless phones
Sample
500 customers in Central Coast Community Energy's service area with contact information provided by 3CE
100 customers in each of the five counties served
Margin of Sampling Error
±4.4 percent in 95 out of 100 cases for a sample of 500 interviews ±9.8 percent in 95 out of 100 cases for a sample of 100 interviews in each County DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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Questionnaire
No more than 15 minutes in length
Language
Telephone interviews to be conducted in English or Spanish based on the preference of the customer.
Deliverables
Following the completion of the survey, we will provide:
• A questionnaire with the topline results of the survey for easy reference • A complete set of crosstabs in an easy-to-read, comprehensive format • Verbatim responses to any open-ended questions
• A complete analysis of survey results in PowerPoint
• A presentation of the survey results
CONTRACTOR will also be available for ongoing consultation and any further analysis of the research.
6. MANAGEMENT OF PRINT AND MAILING SERVICES VENDOR
Deliverables
CONTRACTOR agrees to communicate directly with 3CE’s print and mail house vendor to manage all communications, trafficking and production related to 3CE reoccurring mailers, required annual mailers (Joint Rate Mailer and Power Content Label), printed collateral, business cards, and all other TBD print or mailing projects. CONTRACTOR will also provide monthly print/mailing costs as part of monthly accounting (budgeted vs. actuals) report.
Additionally, Required Mailers and Reoccurring Weekly Mailers require coordinating with 3CE’s data provider to facilitate secure transfer of customer data.
7. ENGLISH/SPANISH TRANSLATION SERVICES
Deliverables
CONTRACTOR shall provide translation services consisting of translating 3CE Materials from English to Spanish, such that the tone, intent, and context of the 3CE Materials is preserved when read by a native Spanish speaker or native speaker of other applicable language. 3CE Materials shall include all web-based, digital, and written materials. 3CE shall request, and CONTRACTOR shall provide, translation services on a case-by-case basis.
8. VIDEO AND PHOTOGRAPHY SERVICES – see Exhibit B
DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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Exhibit B – Proposed Budget
The Proposed Budget represents the maximum aggregate amount to be possibly allocated and spent on 3CE’s annual communication activities and is not a guaranteed sum to be disbursed in its entirety. The actual amounts to be paid to the Vendor under this Agreement may be less than the Proposed Budget, based on actual services rendered, materials supplied, and other expenditures incurred in accordance with this Agreement.
Advertising Budget October 1, 2023 - September 30, 2024 Estimated Costs Energy Programs Advertising
Electrify Your Ride Program $100,000
Electrify Your Home Program $60,000
Ag Electrification Program $50,000
Demand Response Program $50,000
Other Advertising
Brand Awareness Campaign $100,000
Workshops & Webinars $37,500
Contingency $10,000
Total $407,500
Advertising Budget October 1, 2024 - September 30, 2025 Energy Programs Advertising
Electrify Your Ride Program $100,000
Electrify Your Home Program $60,000
Ag Electrification Program $50,000
Demand Response Program $50,000
Other Advertising
Brand Awareness Campaign $100,000
Enrollment $75,000
Contingency $10,000
Total $445,000
DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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Advertising Budget October 1, 2025 - September 30, 2026 Energy Programs Advertising
Electrify Your Ride Program $100,000
Electrify Your Home Program $60,000
Ag Electrification Program $50,000
Demand Response Program $50,000
Other Advertising
Brand Awareness Campaign $100,000
Contingency $10,000
Total $370,000
GRAND TOTAL FOR 3-YEAR TERM $1,222,500
2023-2026 Annual Deliverables Based on 3CE Fiscal Year
(Oct 1 - Sept 30)
Estimated Due
Date Quantity
Estimated
Costs
Design, edit, prepare for printing the following Projects (Through September 30, 2024)
Notices, Letters, and Mailers
Cost of Service Letter or Postcard (aka Rate Update mailer) - Format TBD TBD 1 $500 Opt-In Letter - in window envelope (8.5 x 11) TBD 1 $500 Opt-Out Letter - in window envelope (8.5 x 11) TBD 1 $500 Opt-Up Letter - in window envelope (8.5 x 11) TBD 1 $500 Move In /Move Out Postcard (5.5 x 8.5) TBD 1 $500
Notification Mailer V1: 5.5 x 8.5 Postcard or 8.5 x 11 letter folded/tabbed - Format TBD TBD 1 $1,000
Notification Mailer V2: 5.5 x 8.5 Postcard or 8.5 x 11 letter folded/tabbed - Format TBD TBD 1 $1,000
NEM Notification Mailer: 8.5 x 11 letter folded/tabbed TBD 1 $1,000 CARE/FERA (financial assistance programs) mailer - Format TBD TBD 1 $1,000 Print and Digital Collateral
Energy Programs One-Sheet (8.5 x 11) Sept/Oct 8 $8,000
Joint Rate Mailer (5.5 x 8.5 postcard mailer) May/June 1 $2,000 DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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Power Content Label (5.5 x 8.5 postcard mailer) Aug/Sept 1 $2,000 Supplier Diversity Report (12-20 pages, digital only) Jan/Feb 1 $12,000 Annual Report (12-20 pages, printed and stable-bound) Oct/Nov 1 $12,000 Integrated Resources Plan Feb 1 $6,000
Annual Budget Book (12-20 pages, printed and stable-bound) Aug/Sept 1 $12,000 Key Account Report Card - Format TBD TBD $2,000
TBD (Infographics, presentation slides, folios, business cards, etc.) TBD $10,000 Contingency As Needed $1,500
Advertising Assets (All assets must be produced in English and Spanish)
Digital display ads (Up to 5 sizes each round) - regular design/message updates, includes use of gifs, HTML 15-second, static TBD 4 $90,000 Social ads - regular design/message updates, animated or live-action video shorts (15s) for reels and stories, social posts TBD 4 $48,000 Print Ads: Brand Awareness Phase 1 (size TBD) April 1 $1,500 Print Ads: Brand Awareness Phase 2 (size TBD) August 1 $1,500 Print Ad: Ag Electrification Program (size TBD) June 1 $1,500 Annual Total 216500
GRAND TOTAL FOR 3-YEAR TERM $649,500
Video Deliverables
Social media video: Electrify Your Ride Program (animated or live action 30s spot) TBD 2 $12,000 Social media video: Electrify Your Home Program (animated or live action 30s spot) TBD 2 $12,000 Social media video: Brand Awareness Phase 1 (animated or live action 30s spot) April 1 $6,000 Social media video: Brand Awareness Phase 2 (animated or live action 30s spot) August 1 $6,000 OTT video: Electrify Your Ride Program (animated or live action 30s spot) TBD 2 $30,000 OTT video: Electrify Your Home Program (animated or live action 30s spot) TBD 2 $30,000 OTT video: Brand Awareness Phase 1 (animated or live action 30s spot) April 1 $15,000 OTT video: Brand Awareness Phase 2 (animated or live action 30s spot) August 1 $15,000 Annual Total 126000
GRAND TOTAL FOR 3-YEAR TERM $378,000
DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D Docusign Envelope ID: C9D362CD-A014-8A64-82FC-BC2539405B89
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Photography Deliverables
Event photography at Annual Meeting
September
Each Year 1 $2,000
TBD photography in support of advertising design, social media, public relations TBD 4 $8,000
Staff/Board of Director head shots TBD 1 $2,000
Annual Total 12000
GRAND TOTAL FOR 3-YEAR TERM $36,000
Customer Survey TBD 1 $37,500
Annual Total $37,500
GRAND TOTAL FOR 3-YEAR TERM $112,500
GRAND CONTRACT TOTAL FOR 3-YEAR TERM $2,398,500
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Exhibit C: Payment Terms
3CE payment is due upon Contractor’s completion of deliverable. Contractor shall provide monthly invoices with itemized costs at the end of each month.
Advertising costs, also known as media placements, will be subject to the standard industry commission of 15% of the gross cost of media purchased on behalf of the 3CE. Media will be negotiated, placed, and purchased on industry standard metrics: Cost Per 1,000 Impressions (CPM). Client will pay to Yellow Bus the cost of all media plus the commission and Yellow Bus will pay the media outlets directly.
All other services outlined in this contract will cost $175.00 per hour.
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Exhibit D: Procedures for Unauthorized Release of Covered Information CONTRACTOR hereby agrees to adhere to these Procedures for detecting and reporting the unauthorized release of Covered Information, including Protected Personal Information (“PPI”).
These Procedures apply to the following unauthorized release activities:
1. Unauthorized access
2. Unauthorized destruction
3. Unauthorized use
4. Unauthorized modification
5. Disclosure to third parties for Secondary Purposes (see below)
DEFINITIONS
Covered Entity – (1) any Community Choice Aggregator or Electrical Service Provider (when providing service to residential or small commercial customers), or any third party that provides services to a Community Choice Aggregator or Electrical Service Provider (when providing service to residential or small commercial customers) under contract, (2) any third party who accesses, collects, stores, uses or discloses covered information pursuant to an order of the Commission, unless specifically exempted, who obtains this information from an electrical corporation, a Community Choice Aggregator or an Electrical Service Provider (when providing service to residential or small commercial customers), or (3) any third party, when authorized by the customer, that accesses, collects, stores, uses, or discloses covered information relating to 11 or more customers who obtains this information from an electrical corporation, a Community Choice Aggregator or an Electrical Service Provider (when providing service to residential or small commercial customers).
Covered Information -- any usage information obtained through the use of the capabilities of Advanced Metering Infrastructure when associated with any information that can reasonably be used to identify an individual, family, household, residence, or non-residential customer, except that covered information does not include usage information from which identifying information has been removed such that an individual, family, household or residence, or non-residential customer cannot reasonably be identified or re-identified. Covered information, however, does not include information provided to the California Public Utilities Commission (the “Commission”) pursuant to its oversight responsibilities.
Primary Purposes – The “primary purposes” for the collection, storage, use, or disclosure of covered information, as outlined in Rule 1(c) of Attachment B, are to:
1. Provide or bill for electrical power or gas,
2. Provide for system, grid, or operational needs,
3. Provide services as required by state or federal law or as specifically authorized by an order of the Commission, or
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4. Plan, implement, or evaluate demand response, energy management, or energy efficiency programs under contract with a Community Choice Aggregator or and Electrical Service Provider (when providing service to residential or small commercial customers), under contract with the Commission, or as part of a Commission authorized program conducted by a governmental entity under the supervision of the Commission.
Secondary Purposes – “Secondary purpose” means any purpose that is not a primary purpose.
Non-Covered Entity – “Non-Covered Entity” means any entity not defined as a Covered Entity.
Responsible Parties -- 3CE, CONTRACTOR, and any staff, employees, or sub consultants contracted by 3CE or CONTRACTOR.
PROCEDURE
Detecting and Reporting of Unauthorized Releases
1. All Responsible Parties are required to protect Covered Information from unauthorized release activities as set forth above.
2. Any request by any non-Covered Entities, for access to Covered Information must be reviewed and approved by an 3CE manager level employee to ensure no unauthorized or inadvertent release of Covered Information.
3. All authorized releases of Covered Information to Non-Covered Entities shall be logged and reported to 3CE on a quarterly basis.
4. Any discovery of any unauthorized release of Covered Information must be reported to 3CE within one week of detection.
Unauthorized Release Handling Procedure
1. The discovering party after detecting, or discovery of, the unauthorized release of Covered Information must contact 3CE’s Dir. of Finance and Administration (or another executive manager) immediately.
2. CONTRACTOR will quantify and validate the type and extent of unauthorized release and report that information to 3CE’s Dir. of Finance and Administration in writing with sufficient detail for 3CE to determine the extent and impact of the unauthorized release.
3. CONTRACTOR shall prepare a written annual report of all discoveries of unauthorized releases of Covered Information.
Review and Training
1. At least annually, CONTRACTOR will review these Procedures with its staff, employees, or sub consultants.
2. Any proposed changes to these Procedures shall be provided in writing to 3CE’s Dir. of Finance and Administration for their consideration.
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CENTRAL COAST COMMUNITY ENERGY
STANDARD SERVICES AGREEMENT
This Agreement is made by and between CENTRAL COAST COMMUNITY ENERGY (“3CE”) and Yellow Bus LLC, a California limited liability company (hereinafter “CONTRACTOR”) with its principal place of business located at 207 Monterey Avenue, Suite 100, Capitola, CA 95010. 3CE and CONTRACTOR may be individually referred to herein as “Party” or collectively as “Parties.” In consideration of the mutual covenants and conditions set forth in this Agreement, the Parties agree as follows:
1. GENERAL DESCRIPTION
1.1. 3CE hereby engages CONTRACTOR to perform, and CONTRACTOR hereby agrees to perform, the services described in Exhibits A and B in conformity with the terms of this Agreement.
The goods and/or services are generally described as: Facilitation and Change Management Support.
2. PAYMENT PROVISIONS
2.1. 3CE shall pay the CONTRACTOR in accordance with the payment provisions set forth in Exhibit C, subject to the limitations set forth in this Agreement. The total amount payable by 3CE to CONTRACTOR under this Agreement shall not exceed the sum of $2,398,500.
3. TERM OF AGREEMENT
3.1. The term of this Agreement is from September 15, 2023 until September 30, 2026 unless sooner terminated pursuant to the terms of this Agreement. This Agreement is of no force or effect until signed by both the CONTRACTOR and 3CE, with 3CE’s execution to be last in time.
CONTRACTOR may not commence work under this Agreement before 3CE signs this Agreement.
3.2. 3CE reserves the right to cancel this Agreement, or any extension of this Agreement, without cause with thirty (30) days written notice, or with cause immediately.
4. SCOPE OF SERVICES AND ADDITIONAL PROVISIONS
4.1. The following attached exhibits are incorporated herein by reference and constitute a part of this Agreement:
4.1.1.Exhibit A: Scope of Services
4.1.2. Exhibit B: Proposed Budget
4.1.3.Exhibit C: Payment Terms
4.1.4.Exhibit D: Procedures for Unauthorized Release of Covered Information DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D
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5. PERFORMANCE STANDARDS
5.1. CONTRACTOR warrants that CONTRACTOR and CONTRACTOR’s agents, employees and subcontractors performing services under this Agreement are specially trained, experienced, competent, and appropriately licensed to perform the work and deliver the services required under this Agreement and are not employees of 3CE or immediate family of an employee of 3CE.
5.2. CONTRACTOR and CONTRACTOR’s agents, employees and subcontractors shall perform all work in a safe and skillful manner and in compliance with all applicable laws and regulations. All work performed under this Agreement that is required by law to be performed or supervised by licensed personnel shall be performed in accordance with such licensing requirements.
5.3. CONTRACTOR shall furnish, at its own expense, all materials, equipment, and personnel necessary to carry out the terms of this Agreement, except as otherwise specified in this Agreement. CONTRACTOR shall not use 3CE premises, property (including equipment, instruments, or supplies) or personnel for any purpose other than in the performance of its obligations under this Agreement.
6. PAYMENT CONDITIONS
6.1. Prices shall remain firm for the initial term of the Agreement and, thereafter, may be adjusted annually as provided herein. 3CE does not guarantee any minimum or maximum amount of dollars to be spent under this Agreement.
6.2. Negotiations for rate changes shall be commenced, by CONTRACTOR, a minimum of ninety days (90) prior to the expiration of the Agreement. Rate changes are not binding unless mutually agreed upon in writing by 3CE and the CONTRACTOR.
6.3. Invoices shall be submitted monthly on a form acceptable to 3CE and provide sufficient detail, as determined by 3CE, of services rendered for the invoiced period.
6.4. 3CE shall certify the invoice for payment in either the amount requested, or in such other amount as 3CE determines is due in conformity with this Agreement. Invoices shall be certified and paid within 45 days of submission to 3CE.
7. TERMINATION
7.1. During the term of this Agreement, 3CE may terminate the Agreement for any reason by giving written notice of termination to the CONTRACTOR at least thirty (30) days prior to the effective date of termination. Such notice shall set forth the effective date of termination. In the event of such termination, the amount payable under this Agreement shall be reduced in proportion to the services provided prior to the date of termination.
7.2. 3CE may cancel and terminate this Agreement for good cause effective immediately upon written notice to CONTRACTOR. “Good cause” includes the failure of CONTRACTOR to perform DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D
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the required services at the time and in the manner provided under this Agreement. If 3CE terminates this Agreement for good cause, 3CE may be relieved of the payment of any consideration to CONTRACTOR, and 3CE may proceed with the work in any manner, which 3CE deems proper. The cost to 3CE shall be deducted from any sum due the CONTRACTOR under this Agreement.
8. INDEMNIFICATION
8.1. CONTRACTOR shall indemnify, defend, and hold harmless 3CE, its Directors, Board members, officers, agents and employees from any claim, liability, loss, injury or damage arising out of, or in connection with, performance of this Agreement by CONTRACTOR and/or its agents, employees or sub-contractors, excepting only loss, injury or damage caused by the sole negligence or willful misconduct of personnel employed by 3CE. It is the intent of the parties to this Agreement to provide the broadest possible coverage for 3CE. The CONTRACTOR shall reimburse 3CE for all costs, attorneys’ fees, expenses and liabilities incurred with respect to any litigation in which the CONTRACTOR is obligated to indemnify, defend and hold harmless 3CE under this Agreement.
8.1.1.The CONTRACTOR’s selection of counsel to satisfy CONTRACTOR’s defense and hold harmless obligation as set forth in section 8.1 above, shall be subject to review and approval by 3CE.
8.1.2.Notwithstanding any other provision of this Agreement, 3CE shall be entitled to participate fully in the defense of any claim or action.
9. INSURANCE REQUIREMENTS
9.1. Prior to commencement of this Agreement, the CONTRACTOR shall provide a “Certificate of Insurance” certifying that coverage as required herein has been obtained. Individual endorsements executed by the insurance carrier shall accompany the certificate. In addition, the CONTRACTOR upon request shall provide a certified copy of the policy or policies. This verification of coverage shall be sent to 3CE.
9.2. Without limiting CONTRACTOR’s duty to defend and indemnify, CONTRACTOR shall maintain in effect throughout the term of this Agreement a policy or policies of insurance with the following minimum limits of liability:
9.2.1.1. Commercial General Liability Insurance, including but not limited to premises and operations, including coverage for Bodily Injury and Property Damage, Personal Injury, Contractual Liability, Broad form Property Damage, Independent Contractors, Products and Completed Operations, and cross-liability with a combined single limit for Bodily Injury and Property Damage of not less than $1,000,000 per occurrence, and $1,000,000 in the aggregate.
9.2.1.2. Business Automobile Liability Insurance, covering all motor vehicles, including owned, leased, non-owned, and hired vehicles, used in providing services under this DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D
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Agreement, with a combined single limit for Bodily Injury and Property Damage of not less than $500,000 per occurrence.
9.2.1.3. Workers’ Compensation Insurance, if CONTRACTOR employs others in the performance of this Agreement, in accordance with California Labor Code section 3700 and with Employer’s Liability limits not less than $1,000,000 each person, $1,000,000 each accident and $1,000,000 each disease.
9.2.1.4. Professional Liability Insurance, if required for the professional services being provided, (e.g., those persons authorized by a license to engage in a business or profession regulated by the California Business and Professions Code), in the amount of not less than $1,000,000 per claim and $1,000,000 in the aggregate, to cover liability for malpractice or errors or omissions made in the course of rendering professional services. If professional liability insurance is written on a “claims-made” basis rather than an occurrence basis, the CONTRACTOR shall, upon the expiration or earlier termination of this Agreement, obtain extended reporting coverage (“tail coverage”) with the same liability limits. Any such tail coverage shall continue for at least three years following the expiration or earlier termination of this Agreement.
9.3. Unless otherwise specified by this Agreement, all such insurance shall be written on an occurrence basis, or, if the policy is not written on an occurrence basis, such policy with the coverage required herein shall continue in effect for a period of three years following the date CONTRACTOR completes its performance of services under this Agreement.
9.4. Commercial general liability policy shall provide an endorsement naming 3CE, its Directors, Board members, officers, agents, and employees as Additional Insureds with respect to liability arising out of the CONTRACTOR’S work, including ongoing and completed operations, and shall further provide that such insurance is primary insurance to any insurance or self-insurance maintained by 3CE and that the insurance of the Additional Insureds shall not be called upon to contribute to a loss covered by the CONTRACTOR’S insurance.
10. RECORD AND CONFIDENTIALITY
10.1. CONTRACTOR and its officers, employees, agents, and subcontractors shall comply with any and all federal, state, and local laws, which provide for the confidentiality of records and other information. CONTRACTOR shall not disclose any confidential records or other confidential information received from 3CE or prepared in connection with the performance of this Agreement, unless 3CE specifically permits CONTRACTOR to disclose such records or information. CONTRACTOR shall promptly transmit to 3CE any and all requests for disclosure of any such confidential records or information. CONTRACTOR shall not use any confidential information gained by CONTRACTOR in the performance of this Agreement except for the sole purpose of carrying out CONTRACTOR’s obligations under this Agreement.
10.1.1. Confidential Information specifically includes Covered Information (as defined in Exhibit D), including Protected Personal Information(“PPI”) that identifies, relates to, DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D
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describes, or is capable of being associated with, or could reasonably be linked, directly or indirectly, with a consumer, household, or customer account. All such Covered Information and PPI must fully be protected from disclosure as set forth in California Public Utility Commission Decision D.12-08-045. In the event of an unauthorized release of Covered Information and PPI, CONTRACTOR shall comply with Exhibit D, Procedures for Unauthorized Release of Covered Information.
10.2. Upon expiration or termination of this Agreement, CONTRACTOR shall return to 3CE any 3CE records which CONTRACTOR used or received from 3CE to perform services under this Agreement.
10.3. CONTRACTOR shall prepare, maintain, and preserve all reports and records that may be required by federal, state, and local rules and regulations related to services performed under this Agreement. CONTRACTOR shall maintain such records for a period of at least three years after receipt of final payment under this Agreement. If any litigation, claim, negotiation, audit exception, or other action relating to this Agreement is pending at the end of the three-year period, then CONTRACTOR shall retain said records until such action is resolved.
10.4. 3CE shall have the right to examine, monitor and audit all records, documents, conditions, and activities of the CONTRACTOR and its subcontractors related to services provided under this Agreement. Pursuant to Government Code section 8546.7, if this Agreement involves the expenditure of public funds in excess of $10,000, the parties to this Agreement may be subject, at the request of 3CE or as part of any audit of 3CE, to the examination and audit of the State Auditor pertaining to matters connected with the performance of this Agreement for a period of three years after final payment under the Agreement.
10.5. 3CE shall have a royalty-free, exclusive and irrevocable license to reproduce, publish, and use, and authorize others to do so, all original computer programs, writings, sound recordings, pictorial reproductions, drawings, and other works of similar nature produced in the course of or under this Agreement. CONTRACTOR shall not publish any such material without the prior written approval of 3CE.
11. NON-DISCRIMINATION
11.1. During the performance of this Agreement, CONTRACTOR, and its subcontractors, shall not unlawfully discriminate against any person because of race, religious creed, color, sex, national origin, ancestry, physical disability, mental disability, medical condition, marital status, age (over 40), or sexual orientation, either in CONTRACTOR’s employment practices or in the furnishing of services to recipients. CONTRACTOR shall ensure that the evaluation and treatment of its employees and applicants for employment and all persons receiving and requesting services are free of such discrimination. CONTRACTOR and any subcontractor shall, in the performance of this Agreement, fully comply with all federal, state, and local laws and regulations which prohibit discrimination. The provision of services primarily or exclusively to DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D
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such target population as may be designated in this Agreement shall not be deemed to be prohibited discrimination.
12. INDEPENDENT CONTRACTOR
12.1. In the performance of work, duties, and obligations under this Agreement, CONTRACTOR is at all times acting and performing as an independent contractor and not as an employee of 3CE. No offer or obligation of permanent employment with 3CE and CONTRACTOR shall not become entitled by virtue of this Agreement to receive from 3CE any form of employee benefits including but not limited to sick leave, vacation, retirement benefits, workers’ compensation coverage, insurance or disability benefits. CONTRACTOR shall be solely liable for and obligated to pay directly all applicable taxes, including federal and state income taxes and social security, arising out of CONTRACTOR’s performance of this Agreement. In connection therewith, CONTRACTOR shall defend, indemnify, and hold 3CE harmless from any and all liability which 3CE may incur because of CONTRACTOR’s failure to pay such taxes.
13. NOTICES
13.1. Notices required under this Agreement shall be delivered personally or by first-class, postage pre-paid mail to 3CE and CONTRACTOR’S contract administrators at the addresses listed below:
Central Coast Community Energy CONTRACTOR
Chief Financial Officer Yellow Bus LLC
70 Garden Court, Suite 300 207 Monterey Avenue, Suite 100 Monterey, CA 93940 Capitola, CA 95010
14. MISCELLANEOUS PROVISIONS
14.1. Conflict of Interest. CONTRACTOR represents that it presently has no interest and agrees not to acquire any interest during the term of this Agreement, which would directly, or indirectly conflict in any manner or to any degree with the full and complete performance of the services required to be rendered under this Agreement.
14.2. Amendment. This Agreement may be amended or modified only by an instrument in writing signed by 3CE and the CONTRACTOR.
14.3. Waiver. Any waiver of any terms and conditions of this Agreement must be in writing and signed by 3CE and the CONTRACTOR. A waiver of any of the terms and conditions of this Agreement shall not be construed as a waiver of any other terms or conditions in this Agreement.
14.4. Contractor. The term “CONTRACTOR” as used in this Agreement includes CONTRACTOR’s officers, agents, and employees acting on CONTRACTOR’s behalf in the performance of this Agreement.
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14.5. Disputes. CONTRACTOR shall continue to perform under this Agreement during any dispute.
14.6. Assignment and Subcontracting. The CONTRACTOR shall not assign, sell, or otherwise transfer its interest or obligations in this Agreement without the prior written consent of 3CE None of the services covered by this Agreement shall be subcontracted without the prior written approval of 3CE. Notwithstanding any such subcontract, CONTRACTOR shall continue to be liable for the performance of all requirements of this Agreement.
14.7. Successors and Assigns. This Agreement and the rights, privileges, duties, and obligations of 3CE and CONTRACTOR under this Agreement, to the extent assignable or delegable, shall be binding upon and inure to the benefit of the parties and their respective successors, permitted assigns, and heirs.
14.8. Compliance with Applicable Law. The parties shall comply with all applicable federal, state, and local laws and regulations in performing this Agreement.
14.9. Headings. The headings are for convenience only and shall not be used to interpret the terms of this Agreement.
14.10. Time is of the Essence. Time is of the essence in each and all of the provisions of this Agreement.
14.11. Governing Law. This Agreement shall be governed by and interpreted under the laws of the State of California.
14.12. Non-exclusive Agreement. This Agreement is non-exclusive and both 3CE and CONTRACTOR expressly reserve the right to contract with other entities for the same or similar services.
14.13. Construction of Agreement. 3CE and CONTRACTOR agree that each party has fully participated in the review and revision of this Agreement and that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement or any amendment to this Agreement.
14.14. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same Agreement.
14.15. Authority. Any individual executing this Agreement on behalf of 3CE or the CONTRACTOR represents and warrants hereby that he or she has the requisite authority to enter into this Agreement on behalf of such party and bind the party to the terms and conditions of this Agreement.
14.16. Integration. This Agreement, including the exhibits, represent the entire Agreement between 3CE and the CONTRACTOR with respect to the subject matter of this Agreement and shall supersede all prior negotiations, representations, or agreements, either written or oral, DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D
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between 3CE and the CONTRACTOR as of the effective date of this Agreement, which is the date that 3CE signs the Agreement.
14.17. Interpretation of Conflicting Provisions. In the event of any conflict or inconsistency between the provisions of this Agreement and the Provisions of any exhibit or other attachment to this Agreement, the provisions of this Agreement shall prevail and control.
SIGNATURE OF THE PARTIES:
Yellow Bus LLC
BY:________________________________
Austin Sherwood, President
Date: ____________________________
Central Coast Community Energy
BY:____________________________________
Robert Shaw, CEO
Date: ____________________________
Approved as to Form
BY:______________________________________
Charles McKee, General Counsel
Date: ____________________________
Approved as to Financial Terms
BY:______________________________________
Dewayne Woods, Chief Financial Officer
Date: ____________________________
DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 9/26/2023
DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 9/27/2023
9/27/2023
DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D 10/19/2023
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Exhibit A: Scope of Services
1. PROJECT MANAGEMENT
• Execute collaboration with 3CE staff regarding project planning and timelines, production, creative direction, messaging, and budget related to all services listed in this RFP. • Upon receiving approval from designated 3CE staff after project kickoff and again after a maximum of 2 project revisions, manage all marketing strategy implementation and brand management, media buying, graphic design, customer survey, printing and mailing, translation, video production and photography projects at strategic direction of 3CE staff. • Provide services (this is preferred) or source independently as needed to fulfill 3CE needs for marketing strategy and brand management, media buying, graphic design, customer survey, management of existing 3CE print and mailing services vendor, translation, video production and photography projects.
• Provide timely written monthly updates that include spending vs. forecasted budget, progress reports on current projects, lead times and planning for upcoming projects. • Duties and responsibilities shall include:
o Supervising and leading projects for timely deliverables and campaign execution o Receiving direction from and collaborating with 3CE staff o Management of sub-contractors
o Managing the project team and delegating tasks
o Conducting team and planning meetings
o Providing reports on project progress as required
o Ensuring project timeline and budget are adhered to
o Managing performance and metric measurement
2. MARKETING STRATEGY IMPLEMENTATION & BRAND MANGEMENT
o In collaboration with 3CE staff and based on 3CE’s existing marketing strategy, conceive and deliver annual Marketing and Advertising Plan document that outlines campaigns, audiences, timeline, assets/resources needed, message focus, estimated costs for billable deliverables, and identifies overall performance metrics. o With a focus on cohesive design as well as consistent message, tone and portrayal of 3CE values, this plan will leverage existing brand message and value proposition to meet 3CE Communications and Outreach Department annual objectives and further agency’s over-arching goals.
o Per the Marketing and Advertising Plan, manage the production of and deliver all related marketing and brand assets and resources.
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3. ADVERTISING/MEDIA PLANNING, BUYING, AND REPORTING
At the direction of 3CE staff, CONTRACTOR will be responsible for media buying and creation of all related assets. This includes, but is not limited to campaign planning, negotiating, ad design and scripts, campaign placement, maintaining, monitoring, and adjusting (if needed) the advertising campaigns, monthly reporting, and commercial traffic management.
Also included isinvoice review and discrepancy management, consolidation of all advertising invoices into one single itemized monthly invoice that follows 3CE budget coding structure, and pre-payment of related ad buys on behalf of 3CE.
The overall 3-year budget for all advertising (not including related graphic design, video production, etc.) is not to exceed $1,222,500.
Advertising Plan and all invoices will identify which of the following campaigns any advertisement is supporting:
1) Enrollment
2) Brand Awareness
3) Energy Programs - General
4) Electrify Your Ride (Energy Program)
5) Electrify Your Home (Energy Program)
6) Ag Electrification (Energy Program)
7) Demand Side Management (Energy Program)
8) Community Workshops
9) Miscellaneous/TBD
Draft Advertising Plan - Completed by 10/2/23
The Preliminary Advertising Plan will be a layout of the proposed plan based on quantitative and qualitative research, including mediums, timing, and advertising spend. Preliminary Advertising as well as subsequent advertising will be determined. The Preliminary Advertising Plan will be reviewed by 3CE staff and approved upon incorporation of staff feedback.
Advertising Plan Rate Negotiations - Completed by 10/16/23 Once the Preliminary Advertising Plan is approved by 3CE staff, CONTRACTOR negotiates the best possible deal with advertising vendors to implement the approved 3CE Preliminary Advertising Plan.
Final Advertising Plan - Completed for Final Approval by 10/16/23 This Final Advertising Plan will include a complete breakdown of every portion of the campaign, including but not limited to rates, total advertisements, impressions, reach, frequency, and line by line costs. The Final Advertising Plan will be reviewed by 3CE staff and approved only after staff feedback is incorporated.
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Monthly Reporting, Billing, and Confirmations - Completed 15 days after month-end of every month advertising is booked
At the end of each month, CONTRACTOR will review all invoices to certify that the campaigns were run according to plan and that the billing is correct. 3CE will receive the certified advertising invoice no later than 15 days after month-end. CONTRACTOR will also provide reporting as to how the campaign is progressing. Such reporting will include a breakdown of traditional digital advertising reporting (click-throughs, etc.), related 3CE website analytics, ratings updates from traditional media (if available), and an overall campaign summation. Reporting will breakdown the spending for campaigns related to the following: 2021 Enrollment, Energy Programs, Name Change, Public Safety Power Shutoff, Cost of Service Rate Structure, Re-enrollment, or Miscellaneous.
Plan Adjustment - Completed 25 days after month-end of every month advertising is booked Following consultation with, and approval of, 3CE staff, CONTRACTOR will make any adjustment necessary to the campaigns by the 25th day after month-end. These adjustments will be based on how each part of the campaign is progressing to ensure maximum results.
4. GRAPHIC DESIGN – see Exhibit B
5. CUSTOMER SURVEYS
One (1) customer survey per year – totaling 3 unique surveys for duration of contract – each comprised of minimum 500 interviews (of which minimum 100 customers identify as Spanish speaking and minimum 100 customers enrolled in CARE/FERA financial assistance programs) conducted among active customers in the 3CE service area using a dual-mode approach (telephone and online interviewing) in English and/or Spanish, with contact information provided by 3CE.
These prices are comprehensive, and include all costs for questionnaire design, sample acquisition and preparation, programming, interviewing, data entry and analysis, and reporting.
Research Methodology
Dual-mode residential customer survey, with participants contacted via email, landline and wireless phones
Sample
500 customers in Central Coast Community Energy's service area with contact information provided by 3CE
100 customers in each of the five counties served
Margin of Sampling Error
±4.4 percent in 95 out of 100 cases for a sample of 500 interviews ±9.8 percent in 95 out of 100 cases for a sample of 100 interviews in each County DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D
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Questionnaire
No more than 15 minutes in length
Language
Telephone interviews to be conducted in English or Spanish based on the preference of the customer.
Deliverables
Following the completion of the survey, we will provide:
• A questionnaire with the topline results of the survey for easy reference • A complete set of crosstabs in an easy-to-read, comprehensive format • Verbatim responses to any open-ended questions
• A complete analysis of survey results in PowerPoint
• A presentation of the survey results
CONTRACTOR will also be available for ongoing consultation and any further analysis of the research.
6. MANAGEMENT OF PRINT AND MAILING SERVICES VENDOR
Deliverables
CONTRACTOR agrees to communicate directly with 3CE’s print and mail house vendor to manage all communications, trafficking and production related to 3CE reoccurring mailers, required annual mailers (Joint Rate Mailer and Power Content Label), printed collateral, business cards, and all other TBD print or mailing projects. CONTRACTOR will also provide monthly print/mailing costs as part of monthly accounting (budgeted vs. actuals) report.
Additionally, Required Mailers and Reoccurring Weekly Mailers require coordinating with 3CE’s data provider to facilitate secure transfer of customer data.
7. ENGLISH/SPANISH TRANSLATION SERVICES
Deliverables
CONTRACTOR shall provide translation services consisting of translating 3CE Materials from English to Spanish, such that the tone, intent, and context of the 3CE Materials is preserved when read by a native Spanish speaker or native speaker of other applicable language. 3CE Materials shall include all web-based, digital, and written materials. 3CE shall request, and CONTRACTOR shall provide, translation services on a case-by-case basis.
8. VIDEO AND PHOTOGRAPHY SERVICES – see Exhibit B
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Exhibit B – Proposed Budget
The Proposed Budget represents the maximum aggregate amount to be possibly allocated and spent on 3CE’s annual communication activities and is not a guaranteed sum to be disbursed in its entirety. The actual amounts to be paid to the Vendor under this Agreement may be less than the Proposed Budget, based on actual services rendered, materials supplied, and other expenditures incurred in accordance with this Agreement.
Advertising Budget October 1, 2023 - September 30, 2024 Estimated Costs Energy Programs Advertising
Electrify Your Ride Program $100,000
Electrify Your Home Program $60,000
Ag Electrification Program $50,000
Demand Response Program $50,000
Other Advertising
Brand Awareness Campaign $100,000
Workshops & Webinars $37,500
Contingency $10,000
Total $407,500
Advertising Budget October 1, 2024 - September 30, 2025 Energy Programs Advertising
Electrify Your Ride Program $100,000
Electrify Your Home Program $60,000
Ag Electrification Program $50,000
Demand Response Program $50,000
Other Advertising
Brand Awareness Campaign $100,000
Enrollment $75,000
Contingency $10,000
Total $445,000
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Advertising Budget October 1, 2025 - September 30, 2026 Energy Programs Advertising
Electrify Your Ride Program $100,000
Electrify Your Home Program $60,000
Ag Electrification Program $50,000
Demand Response Program $50,000
Other Advertising
Brand Awareness Campaign $100,000
Contingency $10,000
Total $370,000
GRAND TOTAL FOR 3-YEAR TERM $1,222,500
2023-2026 Annual Deliverables Based on 3CE Fiscal Year
(Oct 1 - Sept 30)
Estimated Due
Date Quantity
Estimated
Costs
Design, edit, prepare for printing the following Projects (Through September 30, 2024)
Notices, Letters, and Mailers
Cost of Service Letter or Postcard (aka Rate Update mailer) - Format TBD TBD 1 $500 Opt-In Letter - in window envelope (8.5 x 11) TBD 1 $500 Opt-Out Letter - in window envelope (8.5 x 11) TBD 1 $500 Opt-Up Letter - in window envelope (8.5 x 11) TBD 1 $500 Move In /Move Out Postcard (5.5 x 8.5) TBD 1 $500
Notification Mailer V1: 5.5 x 8.5 Postcard or 8.5 x 11 letter folded/tabbed - Format TBD TBD 1 $1,000
Notification Mailer V2: 5.5 x 8.5 Postcard or 8.5 x 11 letter folded/tabbed - Format TBD TBD 1 $1,000
NEM Notification Mailer: 8.5 x 11 letter folded/tabbed TBD 1 $1,000 CARE/FERA (financial assistance programs) mailer - Format TBD TBD 1 $1,000 Print and Digital Collateral
Energy Programs One-Sheet (8.5 x 11) Sept/Oct 8 $8,000
Joint Rate Mailer (5.5 x 8.5 postcard mailer) May/June 1 $2,000 DocuSign Envelope ID: 0FF5A23E-768F-4D4B-9F50-BDB7715BAA27 DocuSign Envelope ID: DD636B0C-3659-4ED8-8F4F-659D1DDA1950 DocuSign Envelope ID: B0C41141-FAC3-43D1-BE47-E5DFD5A1D69D
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Power Content Label (5.5 x 8.5 postcard mailer) Aug/Sept 1 $2,000 Supplier Diversity Report (12-20 pages, digital only) Jan/Feb 1 $12,000 Annual Report (12-20 pages, printed and stable-bound) Oct/Nov 1 $12,000 Integrated Resources Plan Feb 1 $6,000
Annual Budget Book (12-20 pages, printed and stable-bound) Aug/Sept 1 $12,000 Key Account Report Card - Format TBD TBD $2,000
TBD (Infographics, presentation slides, folios, business cards, etc.) TBD $10,000 Contingency As Needed $1,500
Advertising Assets (All assets must be produced in English and Spanish)
Digital display ads (Up to 5 sizes each round) - regular design/message updates, includes use of gifs, HTML 15-second, static TBD 4 $90,000 Social ads - regular design/message updates, animated or live-action video shorts (15s) for reels and stories, social posts TBD 4 $48,000 Print Ads: Brand Awareness Phase 1 (size TBD) April 1 $1,500 Print Ads: Brand Awareness Phase 2 (size TBD) August 1 $1,500 Print Ad: Ag Electrification Program (size TBD) June 1 $1,500 Annual Total 216500
GRAND TOTAL FOR 3-YEAR TERM $649,500
Video Deliverables
Social media video: Electrify Your Ride Program (animated or live action 30s spot) TBD 2 $12,000 Social media video: Electrify Your Home Program (animated or live action 30s spot) TBD 2 $12,000 Social media video: Brand Awareness Phase 1 (animated or live action 30s spot) April 1 $6,000 Social media video: Brand Awareness Phase 2 (animated or live action 30s spot) August 1 $6,000 OTT video: Electrify Your Ride Program (animated or live action 30s spot) TBD 2 $30,000 OTT video: Electrify Your Home Program (animated or live action 30s spot) TBD 2 $30,000 OTT video: Brand Awareness Phase 1 (animated or live action 30s spot) April 1 $15,000 OTT video: Brand Awareness Phase 2 (animated or live action 30s spot) August 1 $15,000 Annual Total 126000
GRAND TOTAL FOR 3-YEAR TERM $378,000
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Photography Deliverables
Event photography at Annual Meeting
September
Each Year 1 $2,000
TBD photography in support of advertising design, social media, public relations TBD 4 $8,000
Staff/Board of Director head shots TBD 1 $2,000
Annual Total 12000
GRAND TOTAL FOR 3-YEAR TERM $36,000
Customer Survey TBD 1 $37,500
Annual Total $37,500
GRAND TOTAL FOR 3-YEAR TERM $112,500
GRAND CONTRACT TOTAL FOR 3-YEAR TERM $2,398,500
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Exhibit C: Payment Terms
3CE payment is due upon Contractor’s completion of deliverable. Contractor shall provide monthly invoices with itemized costs at the end of each month.
Advertising costs, also known as media placements, will be subject to the standard industry commission of 15% of the gross cost of media purchased on behalf of the 3CE. Media will be negotiated, placed, and purchased on industry standard metrics: Cost Per 1,000 Impressions (CPM). Client will pay to Yellow Bus the cost of all media plus the commission and Yellow Bus will pay the media outlets directly.
All other services outlined in this contract will cost $175.00 per hour.
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Exhibit D: Procedures for Unauthorized Release of Covered Information CONTRACTOR hereby agrees to adhere to these Procedures for detecting and reporting the unauthorized release of Covered Information, including Protected Personal Information (“PPI”).
These Procedures apply to the following unauthorized release activities:
1. Unauthorized access
2. Unauthorized destruction
3. Unauthorized use
4. Unauthorized modification
5. Disclosure to third parties for Secondary Purposes (see below)
DEFINITIONS
Covered Entity – (1) any Community Choice Aggregator or Electrical Service Provider (when providing service to residential or small commercial customers), or any third party that provides services to a Community Choice Aggregator or Electrical Service Provider (when providing service to residential or small commercial customers) under contract, (2) any third party who accesses, collects, stores, uses or discloses covered information pursuant to an order of the Commission, unless specifically exempted, who obtains this information from an electrical corporation, a Community Choice Aggregator or an Electrical Service Provider (when providing service to residential or small commercial customers), or (3) any third party, when authorized by the customer, that accesses, collects, stores, uses, or discloses covered information relating to 11 or more customers who obtains this information from an electrical corporation, a Community Choice Aggregator or an Electrical Service Provider (when providing service to residential or small commercial customers).
Covered Information -- any usage information obtained through the use of the capabilities of Advanced Metering Infrastructure when associated with any information that can reasonably be used to identify an individual, family, household, residence, or non-residential customer, except that covered information does not include usage information from which identifying information has been removed such that an individual, family, household or residence, or non-residential customer cannot reasonably be identified or re-identified. Covered information, however, does not include information provided to the California Public Utilities Commission (the “Commission”) pursuant to its oversight responsibilities.
Primary Purposes – The “primary purposes” for the collection, storage, use, or disclosure of covered information, as outlined in Rule 1(c) of Attachment B, are to:
1. Provide or bill for electrical power or gas,
2. Provide for system, grid, or operational needs,
3. Provide services as required by state or federal law or as specifically authorized by an order of the Commission, or
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4. Plan, implement, or evaluate demand response, energy management, or energy efficiency programs under contract with a Community Choice Aggregator or and Electrical Service Provider (when providing service to residential or small commercial customers), under contract with the Commission, or as part of a Commission authorized program conducted by a governmental entity under the supervision of the Commission.
Secondary Purposes – “Secondary purpose” means any purpose that is not a primary purpose.
Non-Covered Entity – “Non-Covered Entity” means any entity not defined as a Covered Entity.
Responsible Parties -- 3CE, CONTRACTOR, and any staff, employees, or sub consultants contracted by 3CE or CONTRACTOR.
PROCEDURE
Detecting and Reporting of Unauthorized Releases
1. All Responsible Parties are required to protect Covered Information from unauthorized release activities as set forth above.
2. Any request by any non-Covered Entities, for access to Covered Information must be reviewed and approved by an 3CE manager level employee to ensure no unauthorized or inadvertent release of Covered Information.
3. All authorized releases of Covered Information to Non-Covered Entities shall be logged and reported to 3CE on a quarterly basis.
4. Any discovery of any unauthorized release of Covered Information must be reported to 3CE within one week of detection.
Unauthorized Release Handling Procedure
1. The discovering party after detecting, or discovery of, the unauthorized release of Covered Information must contact 3CE’s Dir. of Finance and Administration (or another executive manager) immediately.
2. CONTRACTOR will quantify and validate the type and extent of unauthorized release and report that information to 3CE’s Dir. of Finance and Administration in writing with sufficient detail for 3CE to determine the extent and impact of the unauthorized release.
3. CONTRACTOR shall prepare a written annual report of all discoveries of unauthorized releases of Covered Information.
Review and Training
1. At least annually, CONTRACTOR will review these Procedures with its staff, employees, or sub consultants.
2. Any proposed changes to these Procedures shall be provided in writing to 3CE’s Dir. of Finance and Administration for their consideration.
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Staff Report Item 10
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
PREPARED BY: Dewayne Woods, Chief Operating Officer
SUBJECT: Approve and Authorize the CEO to Execute Amendment No. 2 to the Standard Services Agreement with Ascend Analytics, LLC, increasing the Not-to-Exceed amount by $415,553.33, for a total Not-to-Exceed of $1,755,266.66 DATE: September 16, 2026
RECOMMENDATION:
This recommends that the Operations Board approve and authorize the Chief Executive Officer to execute Amendment No. 2 to the Standard Services Agreement with Ascend Analytics, LLC (“Ascend” or “CONTRACTOR”), increasing the total Not-To-Exceed amount by $415,553.33, for a total Not-to-Exceed of $1,755,266.66.
BACKGROUND:
On April 13, 2022, 3CE entered into a Standard Services Agreement (the “Agreement”) with Ascend to provide energy portfolio management, cost of energy budgeting software as a service, and consulting.
The Agreement is built around Ascend’s PowerSIMM platform (Portfolio Manager and Planner modules), which 3CE uses to model its power portfolio, produce its cost-of-energy budget, and monitor risk as market conditions change. The initial three-year term carried an annual platform fee of $292,953.33, a NTE of $878,860, and 2,100 activity units of support credit (700 per year) for use across CAISO market reporting, integrated resource planning support, request-for-offers analysis, counterparty credit monitoring, and related tasks.
The Agreement provides for up to two successive twelve (12)-month automatic renewal periods following the initial term. The first automatic renewal period commenced on April 13, 2025 at the same annual rate of $292,953.33. On July 24, 2025, the Parties executed Amendment No. 1, which increased the NTE to $1,339,713.33 to reflect the first renewal period and to add seven hundred (700) activity units of support.
The first automatic renewal period concluded on April 12, 2026, and the second and final automatic renewal period commenced on April 13, 2026 and continues through April 12, 2027. Amendment No. 2 updates the NTE for the second renewal period and provides additional support capacity through the remainder of the Agreement.
DISCUSSION/ANALYSIS:
PowerSIMM remains 3CE’s core analytical platform for portfolio cost management and cost-of-energy budgeting. Under the Agreement, Ascend delivers hosting and platform access, CAISO market reporting and price fundamentals, and ongoing reporting on industry-standard risk metrics such as cash flow, cost at risk, gross margin at risk, and potential future exposure. Activity units—each equal to not less than one hour of Ascend staff contribution regardless of the level of expertise—fund the analytical support and consulting 3CE draws on throughout the year, including integrated resource planning support, request-for-offers analysis, and counterparty credit monitoring.
Amendment No. 2 makes the following changes to the Agreement:
Provides funding for the second automatic renewal period at the established annual platform fee of $292,953.33, with no change to the underlying rates or scope of services. Adds three hundred fifty (350) activity units of support credit ($122,500) based on 3CE’s current utilization and anticipated analytical needs through the remainder of the renewal period.
Consistent with the Agreement, unused activity units roll into subsequent periods. Amends Section 2.1 to increase the total NTE amount to $1,755,266.66. All other terms and conditions of the Agreement, as previously amended, remain in full force and effect.
The activity unit rate under Amendment No. 2 is consistent with the pricing applied to the additional units purchased under Amendment No. 1 when accounting for the tiered discounts to hourly time-and-materials rates set forth in Exhibit B. Staff finds the renewal terms reasonable and consistent with the platform’s continued value to 3CE.
3CE currently has approximately 354 activity units remaining and utilizes approximately 85 units per month on average. At that rate, the existing balance is expected to be substantially utilized by approximately December 2026. The additional 350 units are intended to maintain analytical support through the current Agreement, which expires in April 2027.
FISCAL IMPACT:
Amendment No. 2 increases the total NTE by $415,553.33, from $1,339,713.33 to $1,755,266.66. This reflects the second automatic renewal period ($292,953.33), 350 additional activity units ($122,500), and a $100 reconciliation between the original Agreement NTE of $878,860 and the $878,760 amount reflected in Amendment No. 1. These costs are funded through 3CE’s operating budget and billed quarterly in accordance with the Agreement. The revised NTE is summarized below.
Cost Component Amount
Not-to-exceed amount prior to Amendment No. 2 $1,339,713.33 Second automatic renewal period (annual platform fee) $292,953.33 350 additional activity units of support credit $122,500.00 Reconciliation to prior period stated total $100.00
Revised Total Not-to-Exceed Amount $1,755,266.66
CONCLUSION:
Staff recommends that the Operations Board approve and authorize the Chief Executive Officer to execute Amendment No. 2 to the Standard Services Agreement with Ascend Analytics, LLC, increasing the total not-to-exceed amount to $1,755,266.66.
ATTACHMENT(S):
1. Amendment No. 2 to the Standard Services Agreement with Ascend Analytics, LLC
2. Amendment No. 1 to the Standard Services Agreement with Ascend Analytics, LLC
3. Standard Services Agreement with Ascend Analytics, LLC (Executed April 13, 2022)
1 AMENDMENT NO. 2
TO STANDARD SERVICES AGREEMENT BETWEEN ASCEND ANALYTICS,
LLC AND CENTRAL COAST COMMUNITY ENERGY
This Amendment No. 2 (“Amendment No. 2”) to the Agreement(as defined below), is entered into by and between CENTRAL COAST COMMUNITY ENERGY (“3CE”) and ASCEND ANALYTICS LLC, a limited liability company (“CONTRACTOR”) (3CE and CONTRACTOR are referred to herein individually as a “Party,” and collectively as the “Parties”) and shall be effective upon execution by both Parties.
RECITALS
WHEREAS, 3CE and CONTRACTOR entered into that certain Standard Services Agreement on April 13, 2022 to provide energy portfolio management, cost of energy budgeting software as a service, and consulting in an amount not to exceed $878,860 (the “Agreement”); WHEREAS, on April 13, 2025, the Agreement automatically renewed for the first of two (2) successive twelve (12)-month periods after the initial three (3)-year term, at an annual rate of $292,953.33;
WHEREAS, 3CE and CONTRACTOR entered that certain Amendment No. 1 to the Services Agreement on July 24, 2025 to increase the not to exceed amount to $1,339,713.33 to cover the annual rate paid over the first three years of the Agreement ($878,760), the renewal rate for first automatic renewal period ($292,953.33), and the cost of an additional seven hundred (700) activity units ofsupport credit in the first automatic renewal period ($168,000) (“Amendment No. 1”).
WHEREAS, the Parties now desire to amend the Agreement for a second time to increase the not to exceed amount to $1,755,266.66 to include the renewal rate for second automatic renewal period and the cost of an additional three hundred fifty (350) activity units of support credit, in accordance with the terms and conditions contained herein.
AGREEMENT
NOW,THEREFORE, in consideration of the foregoing and of the mutual covenants and promises contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties voluntarily and knowingly enter this Amendment No. 2, and agree as follows:
1. Amendment. ThePartiesreplace Section 2.1, as amended by Amendment No. 1, in its entirety with the following:
“3CE shall payCONTRACTOR in accordance with payment provisionsset forth in Exhibit B-1, subject to the limitations set forth in this Agreement. The total amount payable by 3CE to CONTRACTOR under this Agreement shall not exceed $1,755,266.66.” The Parties acknowledge and agree that this amount includes the annual rate paid overthe first three years of the Agreement ($878,860), the renewal rate for first automatic renewal period ($292,953.33), the renewalrate forsecond automatic renewal period ($292,953.33), the cost of an additional seven hundred (700) activity units of support credit in the first automatic renewal period ($168,000), and the cost of an additional three hundred fifty (350) activity units ofsupport credit in the second automatic renewal period ($122,500).
2 2. Limited Effect. Except as expressly provided in this Amendment No. 2, all of the terms and provisions of the Agreement are and will remain in full force and effect and are hereby ratified and confirmed by the Parties. Without limiting the generality of the foregoing, the amendments contained herein will not be construed as an amendment to or waiver of any other provision of the Agreement or as a waiver of or consent to any further or future action on the part of either Party that would require the waiver or consent of the other Party. Upon execution by both Parties, each reference in the Agreement to “this Agreement,” “the Agreement,” “hereunder,” “hereof,” “herein” or words of like import will mean and be a reference to the Agreement as amended by this Amendment No. 2.
3. Miscellaneous. The above Recitals are incorporated by this reference as though fully set forth herein. This Amendment No. 2 may be executed in counterparts, each of which is deemed an original, but all of which constitutes one and the same agreement. Delivery of an executed counterpart of this Amendment No. 2 electronically or by facsimile shall be effective as delivery of an original executed counterpart of this Amendment No. 2. This Amendment No. 2 constitutes the sole and entire agreement between the Parties with respect to the subject matter contained herein, and supersedes all prior and contemporaneous understandings, agreements, representations and warranties, both written and oral, with respect to such subject matter.
[signature page follows]
3 IN WITNESSWHEREOF, the Parties hereto have executed this Amendment No. 2 to the Agreement as of the dates written below.
ASCEND ANALYTICS LLC
By:
Its:
Name:
Date:
CENTRAL COAST COMMUNITY ENERGY
By:
Name: Robert M. Shaw, CEO
Date:
Approved asto Form
By:
Charles McKee, General Counsel
Date:
Approved asto Financial Terms
By:
Name: Dewayne Woods, Chief
Power OfficerChris Rich, Vice
President, Business Operations
Date:
AMENDMENT NO. 1
TO SERVICES AGREEMENT BETWEEN ASCEND ANALYTICS, LLC AND
CENTRAL COAST COMMUNITY ENERGY
This Amendment No. 1 to the Services Agreement (“Agreement”), which was effective on April 13, 2022, is entered into by and between CENTRAL COAST COMMUNITY ENERGY (“3CE”) and ASCEND ANALYTICS LLC, a limited liability company (“CONTRACTOR”); (3CE and CONTRACTOR are referred to herein individually as a “Party,” and collectively as the “Parties”), with respect to the following:
RECITALS
WHEREAS, 3CE and CONTRACTOR entered into the Agreement on April 13, 2022, to provide energy portfolio management, cost of energy budgeting software as a service, and consulting in an amount not to exceed $878,860. This amount covered an initial three-year term at an annual rate of $292,953and included 700 activity units of support per year (2,100 total activity units); WHEREAS, on April 13, 2025, the Agreement automatically renewed for the first of two (2) successive twelve (12)-month periods after the initial three (3)-year term, at an annual rate of $292,953; and
WHEREAS, the Parties now desire to amend the Agreement to reflect the commencement of the first automatic renewal period, update the payment provisions, add seven hundred (700) activity units of support credit, and replace Exhibit A and Exhibit B to the Agreement, in accordance with the terms and conditions contained herein.
AGREEMENT
NOW, THEREFORE, the Parties agree to amend the Agreement as follows:
1. Payment Provisions: The Parties revise Section 2.1 with the following:
“3CE shall pay CONTRACTOR in accordance with payment provisions set forth in Exhibit B-1, subject to the limitations set forth in this Agreement. The total amount payable by 3CE to CONTRACTOR under this Agreement shall not exceed $1,339,713.33.” The Parties acknowledge and agree that this amount includes the annual rate paid over the first three years of the Agreement ($878,760), the renewal rate for first automatic renewal period ($292,953.33), and the cost of an additional seven hundred (700) activity units of support credit in the first automatic renewal period ($168,000).
3. Exhibit A shall be replaced in its entirety with Exhibit A-1 – Revised Scope of Services, attached hereto and incorporated by reference.
4. Exhibit B shall be replaced in its entirety with Exhibit B-1 – Revised Payment Terms, attached hereto and incorporated by reference.
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5. Effect of Amendment: Except as expressly modified by this Amendment No.1, all other terms and conditions of the Agreement, shall remain unchanged and in full force and effect.
IN WITNESS WHEREOF, the Parties hereto have executed this Amendment No. 1 to the Agreement as of the dates written below.
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ASCEND ANALYTICS LLC
By: ____________________________
Its: ____________________________
Name: _________________________
Date: __________________________
CENTRAL COAST COMMUNITY ENERGY
By: ____________________________
Name: Robert M. Shaw, CEO
Date: __________________________
Approved as to Form
By: ____________________________
Marina Pantchenko, Deputy General Counsel
Date: __________________________
Approved as to Financial Terms
By: ____________________________
Name: Dewayne Woods, CFO
Date: __________________________
Gary W. Dorris
Chief Executive Officer
July 24, 2025
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8/18/2025
8/18/2025
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CENTRAL COAST COMMUNITY ENERGY
STANDARD SERVICES AGREEMENT
This Agreement is made by and between CENTRAL COAST COMMUNITY ENERGY (“3CE”) and Ascend Analytics (hereinafter “CONTRACTOR”), a Limited Liability Company with its principal place of business located at Boulder, Colorado. 3CE and CONTRACTOR may be individually referred to herein as “Party” or collectively as “Parties.”
In consideration of the mutual covenants and conditions set forth in this Agreement, the Parties agree as follows:
1. GENERAL DESCRIPTION
1.1. 3CE hereby engages CONTRACTOR to perform, and CONTRACTOR hereby agrees to perform, the services described in Exhibit A in conformity with the terms of this Agreement. The goods and/or services are generally described as: Energy Portfolio Management and Cost of Energy Budgeting Software as a Service and Consulting.
2. PAYMENT PROVISIONS
2.1. 3CE shall pay the CONTRACTOR in accordance with the payment provisions set forth in Exhibit B, subject to the limitations set forth in this Agreement. The total amount payable by 3CE to CONTRACTOR under this Agreement shall not exceed the sum of $$878,860.
3. TERM OF AGREEMENT
3.1. The term of this Agreement is from the date of execution and ends three (3) years later, unless sooner terminated pursuant to the terms of this Agreement. This Agreement is of no force or effect until signed by both the CONTRACTOR and 3CE, with 3CE’s execution to be last in time.
CONTRACTOR may not commence work under this Agreement before 3CE signs this Agreement.
4. SCOPE OF SERVICES AND ADDITIONAL PROVISIONS
4.1. The following attached exhibits are incorporated herein by reference and constitute a part of this Agreement:
4.1.1.Exhibit A: Scope of Services
4.1.2.Exhibit B: Payment Terms
4.1.3.Exhibit C: Procedures for Unauthorized Release of Covered Information
4.1.4.Exhibit D: Non-Disclosure Agreement
5. PERFORMANCE STANDARDS
5.1. CONTRACTOR warrants that CONTRACTOR and CONTRACTOR’s agents, employees and subcontractors performing services under this Agreement are specially trained, experienced, DocuSign Envelope ID: DEC6B319-C885-42A2-BBBA-09B556DB2C57
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competent, and appropriately licensed to perform the work and deliver the services required under this Agreement and are not employees of 3CE or immediate family of an employee of 3CE.
5.2. CONTRACTOR and CONTRACTOR’s agents, employees and subcontractors shall perform all work in a safe and skillful manner and in compliance with all applicable laws and regulations. All work performed under this Agreement that is required by law to be performed or supervised by licensed personnel shall be performed in accordance with such licensing requirements.
5.3. CONTRACTOR shall furnish, at its own expense, all materials, equipment, and personnel necessary to carry out the terms of this Agreement, except as otherwise specified in this Agreement. CONTRACTOR shall not use 3CE premises, property (including equipment, instruments, or supplies) or personnel for any purpose other than in the performance of its obligations under this Agreement.
6. PAYMENT CONDITIONS
6.1. Prices shall remain firm for the initial term of the Agreement and, thereafter, may be adjusted annually as provided herein. 3CE does not guarantee any minimum or maximum amount of dollars to be spent under this Agreement.
6.2. Negotiations for rate changes shall be commenced, by CONTRACTOR, a minimum of ninety days (90) prior to the expiration of the Agreement. Rate changes are not binding unless mutually agreed upon in writing by 3CE and the CONTRACTOR.
6.3. Invoices shall be submitted quarterly on a form acceptable to 3CE and provide sufficient detail, as determined by 3CE, of services rendered for the invoiced period.
6.4. 3CE shall certify the invoice for payment in either the amount requested, or in such other amount as 3CE determines is due in conformity with this Agreement. Invoices shall be certified and paid within 45 days of submission to 3CE.
7. RENEWAL
7.1. After the initial term, the Term of this Agreement shall automatically renew for up to two successive twelve (12) month periods (each a “Renewal License Year” and, collectively, the “Renewal Term”), except as provided herein. Customer may elect not to renew on expiration of the initial term or any Renewal License Year, by delivering advance written termination notice to Customer (“Non-Renewal Notice”) at least 30 days in advance of (a) the last day of the initial term or (b) if renewed, the last Renewal License Year. The effective date of termination under the Non-Renewal Notice will be the last day of the initial term or Renewal Term for which the Non-Renewal Notice was delivered.
8. TERMINATION
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8.1. 3CE may cancel and terminate this Agreement for good cause effective immediately upon written notice to CONTRACTOR. “Good cause” includes the failure of CONTRACTOR to perform the required services at the time and in the manner provided under this Agreement. If 3CE terminates this Agreement for good cause, 3CE may be relieved of the payment of any consideration to CONTRACTOR, and 3CE may proceed with the work in any manner, which 3CE deems proper. The cost to 3CE shall be deducted from any sum due the CONTRACTOR under this Agreement.
9. INDEMNIFICATION
9.1. Each Party shall indemnify, defend, and hold harmless the other Party, its Directors, Board members, officers, agents and employees from any claim, liability, loss, injury or damage arising out of, or in connection with, performance of this Agreement by the indemnifying Party and/or its agents, employees or sub-contractors, excepting only loss, injury or damage caused by the sole negligence or willful misconduct of personnel employed by the other Party. It is the intent of the parties to this Agreement to provide the broadest possible coverage for each Party. The indemnifying Party shall reimburse the other Party for all costs, attorneys’ fees, expenses and liabilities incurred with respect to any litigation in which the indemnifying Party is obligated to indemnify, defend and hold harmless the other Party under this Agreement.
9.2. The CONTRACTOR’s selection of counsel to satisfy CONTRACTOR’s defense and hold harmless obligation as set forth in section 8.1 above, shall be subject to review and approval by 3CE, not to be reasonably withheld.
9.2.1.Notwithstanding any other provision of this Agreement, 3CE shall be entitled to participate fully in the defense of any claim or action.
10. INSURANCE REQUIREMENTS
10.1. Prior to commencement of this Agreement, the CONTRACTOR shall provide a “Certificate of Insurance” certifying that coverage as required herein has been obtained.
Individual endorsements executed by the insurance carrier shall accompany the certificate. In addition, the CONTRACTOR upon request shall provide a certified copy of the policy or policies.
This verification of coverage shall be sent to 3CE.
10.2. Without limiting CONTRACTOR’s duty to defend and indemnify, CONTRACTOR shall maintain in effect throughout the term of this Agreement a policy or policies of insurance with the following minimum limits of liability:
10.2.1.1. Commercial General Liability Insurance, including but not limited to premises and operations, including coverage for Bodily Injury and Property Damage, Personal Injury, Contractual Liability, Broad form Property Damage, Independent Contractors, Products and Completed Operations, and cross-liability with a combined single limit for Bodily Injury and Property Damage of not less than $1,000,000 per occurrence, and $2,000,000 in the aggregate.
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10.2.1.2. Business Automobile Liability Insurance, covering all motor vehicles, including owned, leased, non-owned, and hired vehicles, used in providing services under this Agreement, with a combined single limit for Bodily Injury and Property Damage of not less than $500,000 per occurrence.
10.2.1.3. Workers’ Compensation Insurance, if CONTRACTOR employs others in the performance of this Agreement, in accordance with California Labor Code section 3700 and with Employer’s Liability limits not less than $1,000,000 each person, $1,000,000 each accident and $1,000,000 each disease.
10.2.1.4. Professional Liability Insurance, if required for the professional services being provided, (e.g., those persons authorized by a license to engage in a business or profession regulated by the California Business and Professions Code), in the amount of not less than $1,000,000 per claim and $2,000,000 in the aggregate, to cover liability for malpractice or errors or omissions made in the course of rendering professional services. If professional liability insurance is written on a “claims-made” basis rather than an occurrence basis, the CONTRACTOR shall, upon the expiration or earlier termination of this Agreement, obtain extended reporting coverage (“tail coverage”) with the same liability limits. Any such tail coverage shall continue for at least three years following the expiration or earlier termination of this Agreement.
10.3. Unless otherwise specified by this Agreement, all such insurance shall be written on an occurrence basis, or, if the policy is not written on an occurrence basis, such policy with the coverage required herein shall continue in effect for a period of three years following the date CONTRACTOR completes its performance of services under this Agreement.
10.4. Commercial general liability and automobile liability policies shall provide an endorsement naming 3CE, its Directors, Board members, officers, agents, and employees as Additional Insureds with respect to liability arising out of the CONTRACTOR’S work, including ongoing and completed operations, and shall further provide that such insurance is primary insurance to any insurance or self-insurance maintained by 3CE and that the insurance of the Additional Insureds shall not be called upon to contribute to a loss covered by the CONTRACTOR’S insurance.
11. RECORD AND CONFIDENTIALITY
11.1. All data and materials provided by 3CE to CONTRACTOR are subject to the terms of the Non-Disclosure Agreement (“NDA”) entered into by the Parties and attached as Exhibit D.
11.2. Subject to the terms of that NDA, CONTRACTOR and its officers, employees, agents, and subcontractors shall comply with any and all federal, state, and local laws, which provide for the confidentiality of records and other information. CONTRACTOR shall not disclose any confidential records or other confidential information received from 3CE or prepared in connection with the performance of this Agreement, unless 3CE specifically permits CONTRACTOR to disclose such records or information. CONTRACTOR shall promptly transmit to DocuSign Envelope ID: DEC6B319-C885-42A2-BBBA-09B556DB2C57
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3CE any and all requests for disclosure of any such confidential records or information.
CONTRACTOR shall not use any confidential information gained by CONTRACTOR in the performance of this Agreement except for the sole purpose of carrying out CONTRACTOR’s obligations under this Agreement.
11.3. Confidential Information specifically includes Covered Information (as defined in Exhibit C), including Protected Personal Information(“PPI”) that identifies, relates to, describes, or is capable of being associated with, or could reasonably be linked, directly or indirectly, with a consumer, household, or customer account. All such Covered Information and PPI must fully be protected from disclosure as set forth in California Public Utility Commission Decision D.12- 08-045. In the event of an unauthorized release of Covered Information and PPI, CONTRACTOR shall comply with Exhibit C, Procedures for Unauthorized Release of Covered Information.
11.4. Upon expiration or termination of this Agreement, CONTRACTOR shall return to 3CE any 3CE records which CONTRACTOR used or received from 3CE to perform services under this Agreement.
11.5. CONTRACTOR shall prepare, maintain, and preserve all reports and records that may be required by federal, state, and local rules and regulations related to services performed under this Agreement. CONTRACTOR shall maintain such records for a period of at least three years after receipt of final payment under this Agreement. If any litigation, claim, negotiation, audit exception, or other action relating to this Agreement is pending at the end of the three-year period, then CONTRACTOR shall retain said records until such action is resolved.
11.6. 3CE shall have the right to examine, monitor and audit all records, documents, conditions, and activities of the CONTRACTOR and its subcontractors related to services provided under this Agreement. Pursuant to Government Code section 8546.7, if this Agreement involves the expenditure of public funds in excess of $10,000, the parties to this Agreement may be subject, at the request of 3CE or as part of any audit of 3CE, to the examination and audit of the State Auditor pertaining to matters connected with the performance of this Agreement for a period of three years after final payment under the Agreement.
11.7. 3CE shall have a royalty-free, exclusive and irrevocable license to reproduce, publish, and use, and authorize others to do so, all original computer programs, writings, sound recordings, pictorial reproductions, drawings, and other works of similar nature produced in the course of or under this Agreement. CONTRACTOR shall not publish any such material without the prior written approval of 3CE.
12. NON-DISCRIMINATION
12.1. During the performance of this Agreement, CONTRACTOR, and its subcontractors, shall not unlawfully discriminate against any person because of race, religious creed, color, sex, national origin, ancestry, physical disability, mental disability, medical condition, marital status, age (over 40), or sexual orientation, either in CONTRACTOR’s employment practices or in the DocuSign Envelope ID: DEC6B319-C885-42A2-BBBA-09B556DB2C57
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furnishing of services to recipients. CONTRACTOR shall ensure that the evaluation and treatment of its employees and applicants for employment and all persons receiving and requesting services are free of such discrimination. CONTRACTOR and any subcontractor shall, in the performance of this Agreement, fully comply with all federal, state, and local laws and regulations which prohibit discrimination. The provision of services primarily or exclusively to such target population as may be designated in this Agreement shall not be deemed to be prohibited discrimination.
13. INDEPENDENT CONTRACTOR
13.1. In the performance of work, duties, and obligations under this Agreement, CONTRACTOR is at all times acting and performing as an independent contractor and not as an employee of 3CE. No offer or obligation of permanent employment with 3CE and CONTRACTOR shall not become entitled by virtue of this Agreement to receive from 3CE any form of employee benefits including but not limited to sick leave, vacation, retirement benefits, workers’ compensation coverage, insurance or disability benefits. CONTRACTOR shall be solely liable for and obligated to pay directly all applicable taxes, including federal and state income taxes and social security, arising out of CONTRACTOR’s performance of this Agreement. In connection therewith, CONTRACTOR shall defend, indemnify, and hold 3CE harmless from any and all liability which 3CE may incur because of CONTRACTOR’s failure to pay such taxes.
14. NOTICES
14.1. Notices required under this Agreement shall be delivered personally or by first-class, postage pre-paid mail to 3CE and CONTRACTOR’S contract administrators at the addresses listed below:
Central Coast Community Energy CONTRACTOR
Chief Financial Officer Gary Dorris, CEO and President
70 Garden Court, Suite 300 1877 Broadway, Suite 706
Monterey, Ca 93940 Boulder, CO 80302
15. MISCELLANEOUS PROVISIONS
15.1. Conflict of Interest. CONTRACTOR represents that it presently has no interest and agrees not to acquire any interest during the term of this Agreement, which would directly, or indirectly conflict in any manner or to any degree with the full and complete performance of the services required to be rendered under this Agreement.
15.2. Amendment. This Agreement may be amended or modified only by an instrument in writing signed by 3CE and the CONTRACTOR.
15.3. Waiver. Any waiver of any terms and conditions of this Agreement must be in writing and signed by 3CE and the CONTRACTOR. A waiver of any of the terms and conditions of this Agreement shall not be construed as a waiver of any other terms or conditions in this Agreement.
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15.4. Contractor. The term “CONTRACTOR” as used in this Agreement includes CONTRACTOR’s officers, agents, and employees acting on CONTRACTOR’s behalf in the performance of this Agreement.
15.5. Disputes. CONTRACTOR shall continue to perform under this Agreement during any dispute.
15.6. Assignment and Subcontracting. The CONTRACTOR shall not assign, sell, or otherwise transfer its interest or obligations in this Agreement without the prior written consent of 3CE None of the services covered by this Agreement shall be subcontracted without the prior written approval of 3CE. Notwithstanding any such subcontract, CONTRACTOR shall continue to be liable for the performance of all requirements of this Agreement.
15.7. Successors and Assigns. This Agreement and the rights, privileges, duties, and obligations of 3CE and CONTRACTOR under this Agreement, to the extent assignable or delegable, shall be binding upon and inure to the benefit of the parties and their respective successors, permitted assigns, and heirs.
15.8. Compliance with Applicable Law. The parties shall comply with all applicable federal, state, and local laws and regulations in performing this Agreement.
15.9. Headings. The headings are for convenience only and shall not be used to interpret the terms of this Agreement.
15.10. Time is of the Essence. Time is of the essence in each and all of the provisions of this Agreement.
15.11. Governing Law. This Agreement shall be governed by and interpreted under the laws of the State of California.
15.12. Non-exclusive Agreement. This Agreement is non-exclusive and both 3CE and CONTRACTOR expressly reserve the right to contract with other entities for the same or similar services.
15.13. Construction of Agreement. 3CE and CONTRACTOR agree that each party has fully participated in the review and revision of this Agreement and that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement or any amendment to this Agreement.
15.14. Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same Agreement.
15.15. Authority. Any individual executing this Agreement on behalf of 3CE or the CONTRACTOR represents and warrants hereby that he or she has the requisite authority to enter into this Agreement on behalf of such party and bind the party to the terms and conditions of this Agreement.
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15.16. Integration. This Agreement, including the exhibits, represent the entire Agreement between 3CE and the CONTRACTOR with respect to the subject matter of this Agreement and shall supersede all prior negotiations, representations, or agreements, either written or oral, between 3CE and the CONTRACTOR as of the effective date of this Agreement, which is the date that 3CE signs the Agreement.
15.17. Interpretation of Conflicting Provisions. In the event of any conflict or inconsistency between the provisions of this Agreement and the Provisions of any exhibit or other attachment to this Agreement, the provisions of this Agreement shall prevail and control.
SIGNATURE OF THE PARTIES:
Ascend Analytics Central Coast Community Energy
BY:__________________________________ BY:______________________________________ Title:__CEO________________________ Tom Habashi, CEO
Date: __4/4/2022___________________ Date: ____________________________ Approved as to Form
BY:______________________________________
Brian Kimball, General Counsel
Date: ____________________________
Approved as to Financial Terms
BY:______________________________________
Jaya Bajpai, Chief Financial Officer
Date: ____________________________
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Exhibit A: Scope of Services
The below table identifies the Scope of Services to be performed by the Consultant.
Item Description
1. PowerSIMM Platform,
Hosting, & Implementation
Includes hosting, PowerSIMM (inclusive of PS 5 upgrade) with Portfolio Manager and Planner modules. 3CE may assign three (3) Power Users and three (3) Report Users.
Free implementation on a 2-4 week timeline (following provision by CCCE of any requisite data), on Ascend’s CCAPROD environment. 2,100 activity units of support credit over three (3) years, intended for use for activities #3-7 below.
2. Ascend CAISO Market
Report & Fundamentals
Includes three (3) full nodal analyses with 20+ forecast parameters for CAISO including: NP-15 and DLAP price forecasts with both hourly and 5-minute pricing , Reg, Spin, DA Energy vol, RT Energy spikes, Price shapes, Forward prices, REC, RA value
3. Energy Portfolio
Management and Cost of
Energy Budgeting
Monthly or Weekly reporting to model runs as markets change to monitor the portfolio’s response to forward market conditions.
Report all industry best practice metrics like cash flow, cost at risk (CaR), gross margin at risk (GmaR), Cost of Energy updates and if needed value at risk (VaR) metrics, counterparty mark to market exposure and other risk metrics like Potential Future Exposure (PFE), or custom metrics defined by 3CE. Build custom reports to be delivered by CONTRACTOR weekly.
4. Biennial Integrated
Resource Planning Support
(Optional)
As an Optional service, 3CE may use activity units for tasks for this item. PowerSIMM provides powerful resource planning capabilities including capacity expansion modeling combined with a long-term production cost model. PowerSIMM’s automated resource selection (ARS) chooses the best portfolio that minimizes both cost and risk while also meeting CPUC requirements such as RA position, long-term contracting requirements, RPS content, and GHG emissions stemming from uncovered market purchases. CONTRACTOR
maintains a database of the CPUC required assumptions including hourly GHG emissions factors for market purchases, resource PPA costs, load forecasts, etc.
5. Request for Offers (RFO)
(Optional)
As an Optional service, 3CE may use activity units for tasks for this item. Assist in preparing an offer submission form to be included in 3CE’s RFO protocols for easy inputting into selected Vendor model.
Provide a quantitative analysis of each offer that 3CE’s requests CONTRACTOR to conduct analytics for. Compile all submitted offers and conduct preliminary analysis to reduce the list by removing offers that are nonconforming and/or score low on the qualitative component.
6. Counterparty Credit
Monitoring (Optional)
As an Optional service, 3CE may use activity units for tasks for this item. Leverage PowerSIMM and output reporting to identify both collateral risk and potential future exposure (PFE) around the MtM DocuSign Envelope ID: DEC6B319-C885-42A2-BBBA-09B556DB2C57
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positions CCCE holds with its counterparties. Ascend experts can apply existing CCCE risk policy to reporting upon implementation or advise CCCE on recommendations for changes to risk policy that balance transaction flexibility with prudent diversification and controls. The impacts on liquidity and room to trade with counterparties is AP/AR netting can often be applied outside of PowerSIMM for appropriate recognition in cash months
7. Miscellaneous Support 3CE may use activity units for tasks beyond those listed in this table, subject to approval by CONTRACTOR. Any additional task should be scoped between the Parties prior to commencement.
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Exhibit B: Payment Terms
3CE shall pay CONTRACTOR the following undisputed total annual fees per the quarterly payment conditions described in Section 6.
Item Year 1 Year 2 Year 3
Ascend SaaS Platform Fee: Silver Level Support $292,953.33 $292,953.33 $292,953.33 3-Year Total Platform Fee $878,860
Platform Fee includes Silver level support, inclusive of 2,1001 activity units, each unit equal to not less than 1 hour of Ascend staff contribution regardless of level of expertise, over the three-year agreement with no limit on which year a given number of units are used. The selected activity units may be used for any activity. CONTRACTOR will track and report quarterly on which activities they are used. Ascend will allow unused activity units to roll into subsequent renewal beyond the three-year term.
In addition, there is the ability to acquire a bundle of 100 activity units at a 10% discount to hourly T&M rates, a bundle of 200 or more activity units at a discount of 20% to hourly T&M rates, or the option of acquiring additional support through T&M hourly rates for support beyond that contemplated in this SaaS offering.
Billable Rates
Employee Category Rate ($/hr)
Gary Dorris Engagement Director $675
Sean Burrows Principal Analyst $425
Scott Wrigglesworth Managing Director $400
David Millar Managing Director $400
Director $375
Manager $330
Lead Energy Analyst $295
Senior Analyst $275
Energy Analyst II $255
Energy Analyst $240
Hourly rates to remain good for full term of Agreement.
Quarterly Invoicing: In order to request payment, CONTRACTOR shall submit quarterly invoices to 3CE for Platform fees.
1 At its discretion, Ascend may increase value to CCCE through adjustment of time over 1 hour into a single activity unit where applicable due to the nature of the activity or the staff performing the activity.
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Optional Items: This Platform fee includes one (1) dedicated workstation, three (3) TB of storage, and three (3) Power Users with access to PowerSIMM. Additional items can be purchased at the below rates:
Item Annual Fee
One (1) additional Dedicated Analytic Workstation $12,500 per workstation per year One (1) additional TB of Storage $1,000 per TB per year One (1) additional Power User $2,000 per Power User per year DocuSign Envelope ID: DEC6B319-C885-42A2-BBBA-09B556DB2C57
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Exhibit C: Procedures for Unauthorized Release of Covered Information SCOPE
CONTRACTOR hereby agrees to adhere to these Procedures for detecting and reporting the unauthorized release of Covered Information, including Protected Personal Information (“PPI”).
These Procedures apply to the following unauthorized release activities:
1. Unauthorized access
2. Unauthorized destruction
3. Unauthorized use
4. Unauthorized modification
5. Disclosure to third parties for Secondary Purposes (see below)
DEFINITIONS
Covered Entity – (1) any Community Choice Aggregator or Electrical Service Provider (when providing service to residential or small commercial customers), or any third party that provides services to a Community Choice Aggregator or Electrical Service Provider (when providing service to residential or small commercial customers) under contract, (2) any third party who accesses, collects, stores, uses or discloses covered information pursuant to an order of the Commission, unless specifically exempted, who obtains this information from an electrical corporation, a Community Choice Aggregator or an Electrical Service Provider (when providing service to residential or small commercial customers), or (3) any third party, when authorized by the customer, that accesses, collects, stores, uses, or discloses covered information relating to 11 or more customers who obtains this information from an electrical corporation, a Community Choice Aggregator or an Electrical Service Provider (when providing service to residential or small commercial customers).
Covered Information -- any usage information obtained through the use of the capabilities of Advanced Metering Infrastructure when associated with any information that can reasonably be used to identify an individual, family, household, residence, or non-residential customer, except that covered information does not include usage information from which identifying information has been removed such that an individual, family, household or residence, or non-residential customer cannot reasonably be identified or re-identified. Covered information, however, does not include information provided to the California Public Utilities Commission (the “Commission”) pursuant to its oversight responsibilities.
Primary Purposes – The “primary purposes” for the collection, storage, use, or disclosure of covered information, as outlined in Rule 1(c) of Attachment B, are to:
1. Provide or bill for electrical power or gas,
2. Provide for system, grid, or operational needs,
3. Provide services as required by state or federal law or as specifically authorized by an order of the Commission, or
4. Plan, implement, or evaluate demand response, energy management, or energy efficiency programs under contract with a Community Choice Aggregator or and Electrical Service Provider (when providing service to residential or small commercial customers), under contract with the DocuSign Envelope ID: DEC6B319-C885-42A2-BBBA-09B556DB2C57
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Commission, or as part of a Commission authorized program conducted by a governmental entity under the supervision of the Commission.
Secondary Purposes – “Secondary purpose” means any purpose that is not a primary purpose.
Non-Covered Entity – “Non-Covered Entity” means any entity not defined as a Covered Entity.
Responsible Parties -- 3CE, CONTRACTOR, and any staff, employees, or sub consultants contracted by 3CE or CONTRACTOR.
PROCEDURE
Detecting and Reporting of Unauthorized Releases
1. All Responsible Parties are required to protect Covered Information from unauthorized release activities as set forth above.
2. Any request by any non-Covered Entities, for access to Covered Information must be reviewed and approved by an 3CE manager level employee to ensure no unauthorized or inadvertent release of Covered Information.
3. All authorized releases of Covered Information to Non-Covered Entities shall be logged and reported to 3CE on a quarterly basis.
4. Any discovery of any unauthorized release of Covered Information must be reported to 3CE within one week of detection.
Unauthorized Release Handling Procedure
1. The discovering party after detecting, or discovery of, the unauthorized release of Covered Information must contact 3CE’s Dir. of Finance and Administration (or another executive manager) immediately.
2. CONTRACTOR will quantify and validate the type and extent of unauthorized release and report that information to 3CE’s Dir. of Finance and Administration in writing with sufficient detail for 3CE to determine the extent and impact of the unauthorized release.
3. CONTRACTOR shall prepare a written annual report of all discoveries of unauthorized releases of Covered Information.
Review and Training
1. At least annually, CONTRACTOR will review these Procedures with its staff, employees, or sub consultants.
2. Any proposed changes to these Procedures shall be provided in writing to 3CE’s Dir. of Finance and Administration for their consideration.
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Exhibit D: NON-DISCLOSURE AGREEMENT
THIS NON-DISCLOSURE AGREEMENT (this “NDA”) is entered into as of the date of execution set forth below (the “NDA Effective Date”) between and among Central Coast Community Energy (“3CE”), a California joint powers authority and Ascend Analytics, a Colorado limited liability company (“Ascend”) (each a “Party”, and, together, the “Parties”).
The parties to this NDA intend to do business under a Standard Services Agreement (the “Agreement”). In connection with the Agreement, the Parties may receive certain Confidential Information (as defined below) from each other, the confidentiality of which the Parties desire to protect. For purposes of this NDA, the Party making the disclosure may be referred to as “Disclosing Party” and the party receiving such Confidential Information may be referred to as “Receiving Party.” For purposes of this NDA, “Affiliate” means, as to either party, any person that directly or indirectly through one or more intermediaries, controls, is controlled by, or is under common control with that Party. For valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound, the Parties agree as follows:
1. Confidential Information.
(a) Defined. “Confidential Information” means all secret, proprietary, confidential or otherwise nonpublic information of or relating to a Party or its Affiliates, in any form whether written, electronic, visual or oral, and all notes, analyses, compilations, studies, reports, interpretations, or other material prepared by Receiving Party or its employees or agents which contain or reflect or are based upon, in whole or in part, the foregoing. (b) Exclusions. Confidential Information does not include information (i) that is or becomes generally known to the public other than as a result of disclosure by Receiving Party or any of its Representatives (as defined below) in violation of the terms of this NDA; (ii) that is in the possession of Receiving Party at the time of disclosure by Disclosing Party, as reasonably evidenced by a prior or contemporaneous writing and other than as a result of Receiving Party’s breach of any legal obligation; (iii) that becomes known to Receiving Party through disclosure by sources other than Disclosing Party which, to the knowledge of Receiving Party, are not subject to any obligation of confidentiality or other duty not to disclose such information; or (iv) that is independently developed by Receiving Party without reference to the Confidential Information and through persons who have not had, either directly or indirectly, access to or knowledge of such Confidential Information, as reasonably evidenced in writing by Receiving Party.
2. Obligation of Confidentiality. Receiving Party will not use or disclose any Confidential Information of Disclosing Party except for purposes of carrying out Receiving Party’s duties and obligations with respect to, and otherwise as reasonably necessary to implement, the Agreement, except that Receiving Party may disclose such Confidential Information where it is under a legal or regulatory obligation to do so. Subject to the foregoing, without the prior written consent of Disclosing Party, Receiving Party will not disclose any portion of the Confidential Information to any person, other than to its affiliates and its and their respective directors, officers, managers, partners, members, employees, consultants, advisors, attorneys, auditors, lenders or agents of Receiving Party who have a need to know in connection with the Agreement or otherwise (collectively, to the extent Receiving Party discloses, or provides access to, Confidential Information to any of the foregoing, its “Representatives”), provided such Representatives are informed of this NDA and agree to comply with the terms hereof or are otherwise bound by obligations of confidentiality with regard to the Confidential Information which are at least as protective as the confidentiality obligations set forth herein.
3. Compliance with the Law. If Receiving Party becomes legally compelled (by interrogatories, requests for information or documents, subpoenas, summons, civil investigative demands, or similar processes or otherwise in connection with any litigation or to comply with any applicable law, order, regulation, ruling, regulatory request, accounting disclosure rule or standard or any exchange, control area or independent system operator rule) to disclose any Confidential Information of Disclosing Party, Receiving Party shall provide Disclosing Party with prompt written notice, e-mail permitted, so that Disclosing Party, at its sole expense, may seek an appropriate protective order or other appropriate remedy. Each Party hereto acknowledges and agrees that information and documentation provided in connection with the Agreement may be subject to the California Public Records Act (Government Code Section 6250 et seq.).
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4. Return of Materials. Upon termination of the NDA or upon the earlier written request of Disclosing Party, Receiving Party shall, and shall cause its Representatives to, promptly upon the written request of Disclosing Party, deliver to Disclosing Party all documents, files or other materials furnished by or on behalf of Disclosing Party to Receiving Party constituting Confidential Information, without retaining any copies of them. Receiving Party shall then and shall cause its relevant Representatives to destroy all other documents, files or materials constituting Confidential Information of Disclosing Party (including all electronic records containing or describing any Confidential Information), and shall confirm in writing, e-mail permitted, to Disclosing Party that all Confidential Information and records have been returned or destroyed. The obligations of Receiving Party contained in this NDA will survive any return or destruction of documents, files or other materials containing Confidential Information.
5. Governing Law and Jurisdiction. This NDA will be governed by and interpreted in accordance with the internal laws of the State of California, without regard to conflicts of laws. The parties hereby consent to the exclusive jurisdiction of, and venue in, any federal or state court of competent jurisdiction located in Monterey County for the purposes of adjudicating any matter arising from or in connection with this NDA. Each Party expressly waives any right to a trial by a jury in any proceeding arising directly or indirectly out of this NDA.
6.No Representation, Warranty or Obligation. Disclosing Party makes no representation or warranty, express or implied, as to the Confidential Information, including without limitation to any warranty against infringement, accuracy or completeness, and Disclosing Party shall have no liability based upon the Confidential Information; provided, that Disclosing Party represents it has the right to disclose the Confidential Information to Receiving Party hereunder. Nothing in this NDA obligates Disclosing Party to make any particular disclosure of Confidential Information or to complete, revise or update any Confidential Information. Nothing herein obligates either Party to enter into or continue discussions or transactions related to the Agreement or prevents Disclosing Party from disclosing its Confidential Information to any other person or entity.
7. Term. This NDA will continue in full force and effect for a term of five years from the NDA Effective Date. This NDA shall survive any change or termination of the parties’ business relationship. 8 .Remedies. Receiving Party acknowledges that its obligations hereunder are necessary and reasonable in order to protect Disclosing Party and the business of Disclosing Party, and expressly acknowledges that monetary damages may be inadequate to compensate Disclosing Party for any breach or threatened breach by Receiving Party of any covenants and agreements set forth herein. Accordingly, Receiving Party acknowledges that any such breach or threatened breach may cause irreparable injury to Disclosing Party and that, in addition to any other remedies that may be available, in law, in equity or otherwise, Disclosing Party will be entitled to seek injunctive relief against the threatened breach of this NDA or the continuation of any such breach.
9.Miscellaneous.The headings in this NDA are for reference only and will not affect the interpretation of this NDA. This NDA supersedes all prior written and oral agreements and all other communications between the parties. Amendments and modifications to this NDA will be effective only if written and signed by both parties.
This NDA will be binding upon and inure to the benefit of each Party’s successors or permitted assigns. Except as expressly stated herein, each Party intends that this NDA will not benefit, or create any right or cause of action in or on behalf of, any person or entity other than the parties hereto, and their successors and permitted assigns. This NDA may not be assigned by either Party without the prior written consent of the other Party. If any provision in this NDA is invalid or unenforceable in any circumstances, its application in any other circumstances and the remaining provisions of this NDA will not be affected thereby. All notices, requests, consents and other communications required or permitted to be delivered hereunder must be made in writing and delivered by hand, via overnight delivery service or by registered or certified mail, postage prepaid, or by email. This NDA may be executed in counterparts, each of which will be deemed an original, but all of which together will be deemed to be one and the same agreement. A signed copy of this NDA delivered by e-mail or other means of electronic transmission will be deemed to have the same legal effect as delivery of an original signed copy of this NDA. Each Party represents and warrants that the individual signing below has the necessary authority to bind the Party set forth below.
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IN WITNESS WHEREOF, the parties hereto have
executed this Non-Disclosure Agreement as of the
NDA Effective Date. Ascend Analytics
Central Coast Community Energy
BY:__________________________________
BY:______________________________________
Tom Habashi, CEO
Date: 4/4/2022 Date: ____________________________
Approved as to Form
BY:______________________________________
Brian Kimball, General Counsel
Date: ____________________________
Approved as to Financial Terms
BY:______________________________________
Jaya Bajpai, Chief Financial Officer
Date: ____________________________
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4/13/2022
4/13/2022
Staff Report Item 11
TO: 3CE Operations Board of Directors
FROM: Robert M. Shaw, Chief Executive Officer
SUBJECT: CEO Report
DATE: September 16, 2026
POWER CHARGE INDIFFERENCE ADJUSTMENT REFORM
On August 13, 2026, the CPUC issued a disappointing Proposed Decision (PD) that would value Pre-2019 Banked RECs at zero when used to satisfy bundled customer compliance obligations, rejecting the CCA proposal to value them at the RPS market price benchmark. This zero-dollar valuation will be integrated into the 2027 PCIA and continue to cause upward pressure on this regulatory fee. In comments filed by CalCCA on September 2, the CCAs requested the Commission reject the PD and issue an Alternate PD. The comments argue that the PD fails to fulfill the Commission’s continuing obligation to reduce the cost responsibility of later departing customers by the value of benefits that remain with bundled customers, fails to address how the proposed zero valuation satisfies the statutory indifference requirements, and incorrectly applies timeliness and laches doctrines. 3CE has supported CalCCA’s positions in the proceeding and during the development of CalCCA’s response. The investor-owned utilities and Public Advocates Office supported the PD. Reply comments were due September 8. The earliest this PD may be heard at a Commission voting meeting is September 17.
PCIA reform will continue into 2027. In the newly set Track 3, 3CE is supporting CalCCA in the development of proposals for structural reform of the indifference framework, including options to reduce the size of the PCIA portfolio. The Scoping Ruling divides Track 3 into two tracks.
Track
3A, addressing refinements to existing PCIA structures, including the Renewable Portfolio Standard, Energy Price Index, GHG-Free market price benchmarks and re-vintaging policy; and Track 3B, addressing broader structural changes that could ultimately replace the PCIA. Track 3A is underway, with parties engaged in a 60-day process to identify the utility data needed for proposal development. The Track 3B schedule is expected in the fourth quarter of 2026, with party proposals likely due in the first half of 2027.