AGENDA
City of Carlsbad | City of Del Mar | City of Escondido | City of San Marcos | City of Solana Beach Board of Directors Regular Meeting Agenda
March 31, 2022, 2:00 p.m.
City of Solana Beach|Virtual Meeting
Pursuant to Government Code Section 54953(3) (Assembly Bill 361), and in the interest of public health and safety, Clean Energy Alliance (CEA) is temporarily taking actions to prevent and mitigate the effects of the COVID-19 pandemic by holding CEA Joint Powers Authority meetings electronically or by teleconferencing. All public meetings will comply with public noticing requirements in the Brown Act and will be made accessible electronically to all members of the public seeking to observe and address the CEA Joint Powers Authority Board of Directors.
Members of the public can watch the meeting live through the You Tube Live Stream Link at:
https://thecleanenergyalliance.org/agendas-minutes/
or
https://www.youtube.com/channel/UCGXJILzlTUJOCZwVGpYoC8Q This is a view-only live stream. If the You Tube live stream experiences difficulties members of the public should access the meeting via the Zoom link below.
Members of the public can observe and participate in the meeting via Zoom by clicking:
https://us06web.zoom.us/j/81376410530
or telephonically by dialing:
(253) 215-8782
Meeting ID: 813 7641 0530
Members of the public can provide public comment in writing or orally as follows:
Written Comments: If you are unable to connect by Zoom or phone and you wish to make a comment, you may submit written comments prior to and during the meeting via email to:
[email protected]. Written comments received up to an hour prior to the commencement of the meeting will be announced at the meeting and become part of the meeting record. Public comments received in writing will not be read aloud at the meeting.
Oral Comments: You can participate in the meeting by providing oral comments either: (1) online by using the raise hand function and speaking when called upon or (2) using your telephone by pressing *9 to raise your hand and speaking when called upon.
If you are an individual with a disability and need a reasonable modification or accommodation pursuant to the Americans with Disabilities Act (“ADA”), please contact [email protected] prior to the meeting for assistance.
AGENDA
2 Clean Energy Alliance Board Meeting Agenda
March 31, 2022
CALL TO ORDER
ROLL CALL
FLAG SALUTE
BOARD COMMENTS & ANNOUNCEMENTS
REPORT FROM BOARD SUBCOMMITTEE REGARDING CHIEF EXECUTIVE OFFICER CONTRACT REVIEW
PRESENTATIONS
Presentation Regarding Nuclear Fusion Energy – Zabrina Johal, Director of Strategic Development, General Atomics
PUBLIC COMMENT
APPROVAL OF MINUTES
February 24, 2022, Regular Meeting
March 24, 2022, Special Meeting
Consent Calendar
Item 1: Reconsideration of the Circumstances of the COVID-19 State of Emergency to Determine Whether the Legislative Bodies of Clean Energy Alliance will Continue to Hold Meetings Via Teleconferencing and Making Findings Pursuant to Government Code Section 54943(e)
RECOMMENDATION
To continue meetings by teleconferencing pursuant to Government Code Section 54943(e), finding that: (1) the Board has reconsidered the circumstances of the state of emergency created by the COVID-19 pandemic; and (2) the state of emergency continues to directly impact the ability of the members to meet safely in person.
New Business
Item 2: Clean Energy Alliance Chief Executive Officer Operational, Administrative and Regulatory Affairs Update
RECOMMENDATION
1) Receive and file Community Choice Aggregation Update Report from Chief Executive Officer.
2) Receive and file Community Choice Aggregation Regulatory Affairs Report from Special Counsel.
AGENDA
3 Clean Energy Alliance Board Meeting Agenda
March 31, 2022
Item 3: Fiscal Year 2022/2023 Budget Planning - Review of Current Professional Services Contracts and Provide Direction Regarding Staffing and Consulting Services for Fiscal Year 2022/2023
RECOMMENDATION
1) Review current professional services contracts and provide direction related to extensions for fiscal year 2022/2023.
2) Direct staff to engage a Human Resources consultant to develop a staffing plan to integrate into the fiscal year 2022/2023 draft budget.
Item 4: Consider Appointments for Clean Energy Alliance Community Advisory Committee for Cities of Escondido and San Marcos
RECOMMENDATION
1) Approve Clean Energy Alliance Community Advisory Committee Nominees for City of Escondido – one for term ending December 31, 2024, and one for term ending December 31, 2025.
2) Approve Clean Energy Alliance Community Advisory Committee Nominees for City of San Marcos – one for term ending December 31, 2024, and one for term ending December 31, 2025.
Item 5: Consider Options and Provide Direction Related to In Person Meeting Location for Clean Energy Alliance Board and Community Advisory Committee Meetings and Consider Rescheduling April 28, 2022, CEA Regular Board Meeting.
RECOMMENDATION
1) Consider Options and Provide Direction Related to In Person Meeting Location for Clean Energy Alliance Board and Community Advisory Committee Meetings; 2) Consider rescheduling April 28, 2022, CEA Regular Board meeting; Direct Staff to Post Notice of Cancellation of April 28, 2022, CEA Board Meeting and Notice of Special Meeting for New Date, Pursuant to Brown Act.
BOARD MEMBER REQUESTS FOR FUTURE AGENDA ITEMS
ADJOURN
NEXT MEETING: Regular Board Meeting April 28, 2022, 2:00 p.m., Carlsbad, Virtual or Special Meeting Date as determined by Board in Agenda Item No. 5
Clean Energy Alliance - Board of Directors
Regular Meeting Minutes
February 24, 2022, 2:00 p.m.
Virtual Meeting
Teleconference Locations Per Government Code Section 54953(3) (Assembly Bill 361) CALL TO ORDER: Chair Becker called to order the regular meeting of the Clean Energy Alliance at 2:02 p.m.
ROLL CALL: Vice Chair Druker, Board Members: Inscoe, Musgrove, Acosta, Chair Becker FLAG SALUTE: Vice Chair Druker led the flag salute.
BOARD COMMENTS & ANNOUNCEMENTS - None
PRESENTATIONS - Report on February 17, 2022, Community Advisory Committee (CAC) Meeting – Alternate Board Member/CAC Chair Worden
CAC Chair Worden commented that the full committee, CEA CEO Barbara Boswell, and representation from Tripepi Smith & Associates attended the Community Advisory Committee meeting, and that the CAC reviewed the CEA website in detail and generated a number of recommendations for enhancement of the website. In addition, Chair Worden commented that the CAC is looking forward to additional CAC representation from San Marcos and Escondido.
PUBLIC COMMENT – None
APPROVAL OF MINUTES
Minutes of the Special Meeting – December 17, 2021
Minutes of the Regular Meeting – December 30, 2021
Motion by Chair Becker, second by Vice Chair Druker, to approve the minutes of the special meeting held December 17, 2021, and the regular meeting held December 30, 2021, as submitted.
Motion carried unanimously, 5/0.
Consent Calendar
Item 1: Reconsideration of the Circumstances of the COVID-19 State of Emergency to Determine Whether the Legislative Bodies of Clean Energy Alliance will Continue to Hold Meetings Via Teleconferencing and Making Findings Pursuant to Government Code Section 54943(e)
RECOMMENDATION
To continue meetings by teleconferencing pursuant to Government Code Section 54943(e), finding that: (1) the Board has reconsidered the circumstances of the state of emergency created by the COVID-19 pandemic; and (2) the state of emergency continues to directly impact the ability of the members to meet safely in person.
Item 2: Clean Energy Alliance Treasurer’s Report
RECOMMENDATION
Receive and file Clean Energy Alliance Treasurer’s Report for January 2022 activity.
Motion by Vice Chair Druker, second by Board Member Inscoe to approve the consent calendar.
Motion carried unanimously, 5/0.
New Business
Item 3: Clean Energy Alliance Chief Executive Officer Operational, Administrative and Regulatory Affairs Update
RECOMMENDATION
1) Receive and file Community Choice Aggregation Update Report from Chief Executive Officer. 2) Receive and file Community Choice Aggregation Regulatory Affairs Report from Special Counsel.
CEO Barbara Boswell presented the Board with highlights from the CEO Update Report including the expansion assessment currently underway for the Cities of Oceanside, Vista, and San Clemente with target for service in 2024. Assuming positive impact reports, consideration to join CEA by the prospective new members will take place May/June, with CEA Board approval and direction to prepare the Implementation Plan Amendment scheduled for July 2022. The Implementation Plan Amendment would be filed with the CPUC by December 31, 2022. CEO Boswell commented regarding the return to in-person Board meetings and items to be considered including geographic proximity, broadcast capabilities, and meeting space. CEO Boswell commented regarding the opening of the Community Advisory Committee Applications for the cities of Escondido and San Marcos directing interested persons that live or own a business in those cities to visit the CEA website at https://thecleanenergyalliance.org for more information and application.
Board questions and comments included inquiry regarding the timing for the CEA potential expansion cities and City of Oceanside agreement to join CEA, and support for rotating in-person meetings. CEO Boswell indicated that that each city is fully aware of the anticipated schedule and in agreement to the timing of the actions needed to join CEA and that the City of Oceanside City Council would consider joining CEA if the other corridor cities joined.
Regulatory Counsel Ty Tosdal introduced Tosdal APC Associate Attorneys Samir Hafez, and Chasity Hendren, and updated the Board on regulatory proceedings including Financial Security Requirements (FSRs) commenting that they are in place to protect against mass involuntary return of CCA customers to the Utility. Existing rules require 6-month advance procurements of which costs have been heavily criticized for outdated inputs, and improper offsets. CPUC proceedings are underway and increase to FSRs are likely. In addition, an Advice Letter (AL) was submitted by SDG&E seeking approval for Renewables Portfolio Standard (RPS) transactions with SDCP and CEA. A protest was filed by the Public Advocates Office (Cal Advocates) stating that the CEA agreement did not appear to meet the 10-year RPS requirement and Direct Access (DA) parties are arguing the transaction was premature due to upcoming RPS voluntary allocation and market offer (VAMO) implementation. Mr. Tosdal explained that as part of the Energy Resource Recovery Account (ERRA) process the Investor-Owned Utilities (IOUs) will finalize Community Choice Aggregation (CCAs) potential VAMO shares based on vintaged, annual load forecasts. CCAs will inform IOUs of their interest in shares and IOUs and CCAs to include proposed Voluntary Allocations in 2022 RPS Plans and the CPUC is expected to issue a decision on RPS Plans and address VAMO in December 2022.
Vice Chair Druker inquired whether the VAMO would reduce exit fees and Special Counsel Tosdal explained that it would not, but it does provide access to the resources within the utility portfolio which allows for purchase of resources at a market rate.
Lastly, Mr. Tosdal reported on the Net Energy Metering (NEM) 3.0 proceeding commenting that an email was received from an Administrative Law Judge indicating that the proposed decision will not appear on the CPUC voting meeting agenda until further notice stating the CPUC has reassigned Rulemaking 20-08-020 to President Alice Reynolds, who requested additional time to analyze the record and consider revisions and to ensure al five Commissioners participate in oral arguments.
CEA Board received and filed the report.
Item 4: Presentation on Power Charge Indifference Adjustment
RECOMMENDATION
Receive presentation on the Power Charge Indifference Adjustment.
CEO Barbara Boswell introduced the item and Keyes and Fox LLP Attorneys Jacob Schlesinger and Lee Ewing, who gave a presentation of the Power Charge Indifference Adjustment (PCIA).
Mr. Ewing gave an overview of the PCIA commenting that the law requires remaining SDG&E customers to be left economically indifferent to CEA’s customers leaving SDG&E’s service and that the PCIA is the exit fee that is intended to ensure such indifference and explained how the PCIA is calculated and brought before the CPUC as part of the Annual ERRA Compliance Application. Mr. Ewing and Mr. Schlesinger commented on last year’s ERRA Proceedings stating that SDG&E used a sales forecast that ignored the formation of CCAs, therefore the proposed rate that SDG&E was going to charge their customers was a lot lower than what they should have been making those rates look more attractive than CEA’s at the time of formation and commented on the upcoming proceedings and possible challenges.
Board Member Musgrove inquired regarding the exit fees paid to SDG&E, where the power is going and if CEA has the first right to that power at the negotiated rate. Mr. Ewing explained that the value of the power gets assumed in the market value and should be used to reduce the PCIA to the extent that SDG&E is recovering revenue. Excess Power could be sold into the California Independent System Operator (CAISO) market and that revenue should be reducing the PCIA.
Special Counsel Tosdal commented that the VAMO process allows for access to the power that CEA is paying for part of through PCIA.
Board Member Acosta commented regarding efforts and advocacy to ensure transparency and fairness with ERRA proceedings.
CEA Board received and filed report.
Item 5: Consider Approval of Fiscal Year 2021/2022 Midyear Budget Adjustment
RECOMMENDATION
Approve Fiscal Year 2021/2022 Midyear Budget Adjustment.
CEO Barbara Boswell presented the Midyear Budget Adjustment commenting that the development of the FY 2021/2022 Budget took place prior to serving customers and now are ready to adjust based on the first six months of service to customers and went over the details of the recommended adjustment.
Motion by Chair Becker, second by Board Member Inscoe, to approve the recommended budget adjustment.
Motion carried unanimously, 5/0.
Item 6: Consider Board Subcommittee to Review Chief Executive Officer Contract and Salary
RECOMMENDATION
Appoint Board Subcommittee to Review Chief Executive Officer Contract and Salary.
Board consideration of appointment of Chair and Vice Chair as Subcommittee to review CEO contract and salary.
Motion by Chair Becker, second by Board Member Musgrove, to approve the appointment of Chair Becker and Vice Chair Druker as the Subcommittee to review the CEO contract and salary.
Motion carried unanimously, 5/0.
Addressing the Board was Rob Howard regarding public comment and opt out customers.
BOARD MEMBER REQUESTS FOR FUTURE AGENDA ITEMS: None
ADJOURN: Chair Becker adjourned the meeting at 3:19 p.m. _______________________________________
Susan Caputo, MMC
Interim Board Clerk
Clean Energy Alliance - Board of Directors
Special Meeting Minutes
March 24, 2022, 2:00 p.m.
Virtual Meeting
Teleconference Locations Per Government Code Section 54953(3) (Assembly Bill 361) CALL TO ORDER - Chair Becker called to order the special meeting of the Clean Energy Alliance at 2:00 p.m.
ROLL CALL: Board members: Musgrove, Acosta, Vice Chair Druker, Chair Becker BOARD COMMENTS & ANNOUNCEMENTS PRESENTATIONS: None
PUBLIC COMMENT: None
Consent Calendar
Item 1: Reconsideration of the Circumstances of the COVID-19 State of Emergency to Determine Whether the Legislative Bodies of Clean Energy Alliance will Continue to Hold Meetings Via Teleconferencing and Making Findings Pursuant to Government Code Section 54943(e)
RECOMMENDATION
To continue meetings by teleconferencing pursuant to Government Code Section 54943(e), finding that: (1) the Board has reconsidered the circumstances of the state of emergency created by the COVID-19 pandemic; and (2) the state of emergency continues to directly impact the ability of the members to meet safely in person.
Motion by Chair Becker, second by Board Member Musgrove, to approve the consent calendar.
Motion carried unanimously, 4/0.
ADJOURN: Chair Becker adjourned the meeting at 2:03 pm. ______________________________________
Susan Caputo, MMC
Interim Board Clerk
Staff Report
DATE: March 31, 2022
TO: Clean Energy Alliance Board of Directors
FROM: Barbara Boswell, Chief Executive Officer
ITEM 1: Reconsideration of the circumstances of the COVID-19 state of emergency to determine whether the legislative bodies of Clean Energy Alliance will continue to hold meetings via teleconferencing and making findings pursuant to Government Code Section 54953(e)
RECOMMENDATION
To continue meetings by teleconferencing pursuant to Government Code Section 54953(e), find that: (1) the Board has reconsidered the circumstances of the state of emergency created by the COVID-19 pandemic; and (2) the state of emergency continues to directly impact the ability of the members to meet safely in person.
BACKGROUND AND DISCUSSION
On September 16, 2021, Governor Newsom signed AB 361 amending the Brown Act to allow local agencies to meet remotely during declared emergencies under certain conditions. AB 361 authorizes local agencies to continue meeting remotely without following the Brown Act’s standard teleconferencing provisions, including the requirement that meetings be conducted in physical locations, under specified conditions. Namely, the meeting is held during a state of emergency proclaimed by the Governor and either of the following applies: (1) state or local officials have imposed or recommended measures to promote social distancing; or (2) the agency has already determined or is determining whether, as a result of the emergency, meeting in person would present imminent risks to the health or safety of attendees.
The Board of Directors and CEA’s other legislative bodies have met using teleconferencing throughout the COVID-19 pandemic to protect the health and safety of the public and staff. On October 28, 2021, the Board of Directors determined that the factual circumstances exist for CEA to continue to hold meetings pursuant to AB 361. Specifically, on March 4, 2020, Governor Newsom declared a State of Emergency in response to the COVID-19 pandemic (the “Emergency”). The Emergency continues to exist. In addition, the Centers for Disease Control and Prevention continue to advise that COVID-19 spreads more easily indoors than outdoors and that people are more likely to be exposed to COVID-19 when they are closer than six feet apart from others for longer periods of time. Based on this advice and as a result of the emergency, the Board determined that meeting in person presents imminent risks to the health or safety of attendees.
To continue meeting remotely pursuant to AB 361, an agency must make periodic findings that: (1) the body has reconsidered the circumstances of the declared emergency; and (2) the emergency impacts the ability of the body’s members to meet safely in person, or state or local officials continue to impose or recommend measures to promote social distancing. These findings should be made not later than 30 days after teleconferencing for the first time pursuant to AB 361, and every 30 days thereafter.
Due to the ongoing emergency, the need to promote social distancing to reduce the likelihood of exposure to COVID-19, and the imminent risks to the health or safety of meeting attendees, staff recommends that the legislative bodies of CEA hold public meetings via teleconferencing pursuant to Government Code Section 54953(e) and make the requisite findings to continue to do so.
FISCAL IMPACT
There is no fiscal impact by this action.
ATTACHMENTS
None.
Staff Report
DATE: March 31, 2022
TO: Clean Energy Alliance Board of Directors
FROM: Barbara Boswell, Chief Executive Officer
ITEM 2: Clean Energy Alliance Operational, Administrative and Regulatory Affairs Update
RECOMMENDATION
1) Receive and File Operational and Administrative Update Report from Chief Executive Officer. 2) Receive Community Choice Aggregation Regulatory Affairs Report from Special Counsel.
BACKGROUND AND DISCUSSION
This report provides an update to the Clean Energy Alliance (CEA) Board regarding the status of operational, administrative, and regulatory affairs activities.
OPERATIONAL UPDATE
CEA Outreach Activities
CEA staff will be participating in two unique outreach activities during the month of April: A Regional Energy Procurement Workshop organized by Cleantech San Diego and the Carlsbad Chamber of Commerce Green Business Expo.
In response to the development community’s questions regarding energy procurement by the load serving entities in the San Diego region, Cleantech San Diego has organized a webinar to provide an opportunity for CEA, San Diego Community Power and San Diego Gas & Electric to answer questions and discuss opportunities related to energy procurements to meet the needs of the region. The webinar is scheduled for April 13.
Once again, CEA is looking forward to participating in the Carlsbad Chamber of Commerce Green Business Expo, to be held at the Carlsbad Flower Fields on April 20. Staff will be available to answer questions, provide information about CEA’s clean energy goals and encourage enrollments in CEA’s 100% renewable Green Impact power supply.
March 31, 2022
Admin & Regulatory Update
Expansion of Clean Energy Alliance
In connection with CEA’s evaluation of the cities of Oceanside, Vista, and San Clemente (“The Cities”) joining CEA with a potential 2024 service launch, CEA has received energy usage for those cities and is in the process of analyzing the data. The assessment reports related to the service expansion to these cities will be presented to the CEA Board at the April Board meeting. Should the results of the assessment report be favorable, and the CEA Board indicate a desire to expand into the cities, the following timeline is anticipated:
ACTIVITY TIMING
Assessment Report Results to CEA Board and
Oceanside, Vista, and San Clemente City
Councils
April 2022
Resolution to Join CEA and 1st Reading of
Ordinance to Establish a CCA before the City
Councils
May 2022
2nd Reading of Ordinance May/June 2022
Resolution approving new cities joining
CEA/Direct preparation of Implementation
Plan Amendment
July 2022
Draft Implementation Plan Amendment to
CEA Board
October 2022
File Implementation Plan Amendment December 2022
March 31, 2022
Admin & Regulatory Update
CEA meeting with San Diego Gas & Electric Executive Team At the request of San Diego Gas & Electric (SDG&E), quarterly meetings have been scheduled between CEA and SDG&E Executive team to discuss items of mutual interest. The first quarterly meeting was held Friday March 25, 2022, with Board Chair Becker and Chief Executive Officer Barbara Boswell in attendance.
Return to In-Person CEA Board Meetings
Staff has continued to evaluate options related to in-person CEA board meetings. A separate report will be presented to the Board at today’s meeting.
Call Center Activity
The chart below reflects call activity to CEA’s call center through February 28, 2022:
The chart below reflects call center average seconds to answer and average call duration:
March 31, 2022
Admin & Regulatory Update
The following chart reflects the monthly and cumulative opt-outs for CEA.
March 31, 2022
Admin & Regulatory Update
CEA realized a net increase in opt outs in January of 10 service accounts and overall participation rate of
92.51%.
Enrollments in CEA’s power supply products are:
Clean Impact - 50% Renewable 122
Clean Impact Plus - 75% Carbon Free 59,571
Green Impact - 100% Renewable 384
Resource Adequacy Compliance
The Year-Ahead Resource Adequacy has begun for calendar year 2023, with the initial forecast due to be filed in April 2022. CEA is coordinating with San Diego Gas & Electric (SDG&E) for its 2023 forecast related to accounting for Escondido and San Marcos customers transferring from SDG&E to CEA in 2023.
Contracts $50,000 - $100,000 entered into by Chief Executive Officer
VENDOR DESCRIPTION AMOUNT
Maher Accountancy Provide full-service accounting services $100,000 To meet CEA’s growing accounting needs, Maher Accountancy has been engaged to provide full-service accounting services including accounts payable, accounts receivable, transaction analysis and financial reporting. As accounting information is transitioning to Maher the next Treasurer’s report will be presented at the April Board meeting for transactions through February 2022.
REGULATORY UPDATE
CEA’s regulatory attorney, Ty Tosdal, will provide an update to the Board on current regulatory activities (Attachment A).
FISCAL IMPACT
There is no fiscal impact by this action.
ATTACHMENTS
Attachment A – Tosdal APC Regulatory Update Report
Clean Energy Alliance
Regulatory Update
March 31, 2022
Attachment A
Overview
• Provider of Last Resort (R. 21-03-011)
• SDG&E RPS Voluntary Allocation and Market Offer (R. 17-06-026) • SoCal Gas Fine (R. 13-11-005)
Provider of Last Resort
PG&E argues that in addition to Financial Security Requirements (FSRs), POLR requires liquidity in the event of a mass return of customers and has proposed an insurance pool to be funded according to load share.
• Problem: Energy purchases must be made immediately when customers return to ensure adequate resources, but the current FSR mechanism does not provide for cash flow. • Analysis: Current framework imposes cost shift on IOU customers. Two months of cash flow are needed before new customer revenue begins flowing. • PG&E Proposal:
• Establish a credit facility to be drawn upon by IOU for energy purchases in the event of a mass return of customers.
• Pool funded by CCA programs with cash or letters of credit. • Draws on pool by utility refunded by failing CCA program customers through non-bypassable charge.
Provider of Last Resort
CalCCA argues that PG&E’s liquidity pool is unworkable and that traditional balancing account treatment should be used.
Arguments:
• Real issue is financing costs, not liquidity.
• Financing costs can be obtained through the commercial paper rate that is traditionally applied to balancing accounts.
• Cost Allocation Mechanism adjustments will mitigate resource needs. • Changes to FSRs should be adequate to address financing costs.
Provider of Last Resort
New proposed legislation, Senate Bill 1287, would raise Financial Security Requirements (FSR) amounts:
• Establishes a minimum $500,000 financial security requirement for CCA programs, instead of the current $147,000 minimum; and
• Requires FSR amounts to be based on 12 months, rather than the current 6 months of procurement costs.
Provider of Last Resort
Next Steps:
• March 28, 2022 – Workshop comments due.
• April 15, 2022 – Replies due.
• Q2, 2022 – Evidentiary hearings scheduled.
• Q4, 2022 – Proposed decision issued.
RPS VAMO
RPS Voluntary Allocation and Market Offer (VAMO) is a process that allows CCA programs to purchase power allocations from utility portfolios. • Approved in PCIA proceeding to implement utility ”portfolio optimization” and correct the resource imbalance that results from customers leaving for CCA service. • CCA programs contract for an allocation that represents a “slice” of the utility portfolio. • Pricing set at RPS Market Price Benchmark (MPB), which is revised annually to capture market price of renewables.
SDG&E submitted Advice Letter 3962-E on February 28, 2022, seeking approval for a pro forma contract.
• SDG&E’s Advice Letter raised issues around pricing, data and discretion over the resource pool and collateral requirements.
• CalCCA filed protests to PG&E, SCE and SDG&E’s Advice Letters with our collaboration.
RPS VAMO
• April 2022 – As part of the ERRA Meet & Confer Process, the IOUs will finalize the CCAs' potential VAMO shares based on vintaged, annual load forecasts. • May 2022 – CCAs will inform IOUs of their interest in Voluntary Allocation shares and finalize their elections. Payment based on the 2023 RPS MPB will be due upon election.
• June 2022 – IOUs and CCAs include the proposed Voluntary Allocations in their 2022 RPS Plans.
• December 2022 – Commission expected to issue a decision on 2022 RPS Plans and address VAMO.
• January 2023 – IOUs file final RPS VAMO Plans to comply with Commission decision.
• 21 Days After Final RPS Plans – IOUs commence Voluntary Allocations. • October 2023 – Initial payments trued-up based on updated RPS MPB.
SoCal Gas Fine
SoCal Gas has been fined $9.8 million and ordered to repay all ratepayer funds that were improperly used to lobby against local and other reach codes. • Reach codes go beyond current building codes in state law to achieve energy efficiency and emissions goals.
• Reach codes have the effect of reducing gas consumption in many cases. • Substantial advocacy was related to appliance standards, including dishwashers, pool pumps, cook tops, heat pumps, portable air conditioners, and fans. • SoCal Gas prohibited from using ratepayer funds for any standards activity until policy changes are made.
Staff Report
DATE: March 31, 2022
TO: Clean Energy Alliance Board of Directors
FROM: Barbara Boswell, Chief Executive Officer
ITEM 3: Fiscal Year 2022/23 Budget Planning - Review Current Professional Services Contracts and Provide Direction Regarding Staffing and Consulting Services for Fiscal Year 2022/2023 RECOMMENDATION:
1) Review current professional services contracts and provide direction related to extensions for fiscal year 2022/2023 and direct staff to include the costs in the draft FY 2022/23 budget. 2) Direct staff to engage a Human Resources consultant to develop a staffing plan to integrate into the fiscal year 2022/2023 draft budget.
BACKGROUND AND DISCUSSION:
Clean Energy Alliance’s (CEA) operational, administrative, and technical support are currently provided through a combination of contracted consulting services. This approach has worked well while CEA has been in its initial formation and launch stages. CEA has not yet established a physical location, and the use of consulting services has provided the Board flexibility in adjusting service levels to meet needs and funds available.
As the budget development for fiscal year 2022/23 begins, staff is seeking Board direction regarding the extension of current consulting services and initial hiring of staff.
Current Services Provided by Member Agencies
CEA entered into agreements with the cities of Carlsbad, Del Mar and Solana Beach to assist with certain administrative activities. During the past year, the level of service provided has diminished as tasks have transitioned to CEA’s consulting services team.
March 31, 2022
Fiscal Year 2022/23
Budget Planning
Services currently being provided by Member Agencies include:
SERVICE CITY FY 2021/22 Services FY 22/23
Interim Board
Secretary
Carlsbad Interim Board Secretary; CEA
contracts for Board Clerk
services for meetings and
records management
Carlsbad has indicated a
desire for CEA to find
another option for Board
Secretary.
Accounting
Services
Solana
Beach
Solana Beach staff provides
accounting assistance with
processing payments
CEA has engaged Maher
Accountancy. Solana
Beach services no longer
needed.
Hosting of Board
Meetings
Carlsbad
Del Mar
Solana
Beach
No in-person meetings were
held
Posting of agendas was
required. FY 22/23 will
depend on whether
meetings continue virtual,
or Board selects an in-person site.
Current Consulting Agreements and Term
The following chart provides detail on existing consulting services agreements:
March 31, 2022
Fiscal Year 2022/23
Budget Planning
CONSULTANT SERVICE FY 22/23 NOT
TO EXCEED $
TERM
Administrative Support Services
Bayshore Consulting
Group, Inc.
Chief Executive Officer $150,000 Through June 30,
2022; may be
extended through
mutual agreement
Bayshore Consulting
Group
Interim Board Clerk $35,700 Through June 30,
2022; may be
extended through
mutual agreement
Marie Marron Berkuti Interim Chief Financial
Officer/Treasurer
$50,000 Through June 30,
2022; may be
extended through
mutual agreement
Total Administrative Support Services $235,700
Communications & Marketing Services
Tripepi Smith Communications &
Marketing Services
$94,699 Through June 30,
2022; may be
extended through
mutual agreement
Legal Services
Richards, Watson &
Gershon
General Counsel $120,000 Through June 30,
2022; may be
extended through
mutual agreement
Tosdal, APC Special Counsel –
Regulatory Affairs
$100,000 Through June 30,
2022; may be
extended through
mutual agreement
Hall Energy Law Special Counsel –
Transactions
$120,000 Through June 30,
2022; may be
extended through
mutual agreement
Keyes & Fox Special Counsel – CPUC
Proceedings
$120,000 Through June 30,
2022; may be
extended through
mutual agreement
Total Legal Services $460,000
March 31, 2022
Fiscal Year 2022/23
Budget Planning
Service Needs Anticipated for Fiscal Year 2022/23
Now that CEA is fully operational for the founding members (Carlsbad, Del Mar and Solana Beach), and looking ahead to the expansion into Escondido and San Marcos, CEA will continue to require the services listed above, as well as require additional resources to support our existing customers and the expansions.
Staff projects the following needs for FY 2022/23:
• Recommended new positions for FY 2022/23:
o Key Account & Programs Manager
o Regulatory & Legislative Affairs Manager
o Procurement and Contract Administrator
o Board Secretary to transition responsibilities from City of Carlsbad The Account & Programs Manager will be responsible for key account management, handling customer concerns and issues not handled by CEA’s call center agents, developing programs, and seeking grants to fund programs. The Regulatory and Legislative Affairs Manager will work with both Pacific Energy Advisors (PEA) and Tosdal APC staff in meeting CEA’s regulatory compliance activities, managing CEA’s regulatory filings and California Public Utilities proceeding activity and monitoring legislative activity that is of interest to CEA. The Procurement and Contract Administrator work with PEA in solicitation of energy supply products (long-term and short-term renewable, resource adequacy, and conventional), as well as non-energy related solicitations and contract administration.
Staff recommends engaging a Human Resources consultant to assist with developing personnel policies, job descriptions, salary surveys and ultimately lead the hiring processes once the positions have been approved by the Board. Staff recommends beginning this process now to be ready to begin recruitment in early FY 2022/23.
FISCAL IMPACT
Funds are available in FY 21/22 budget for a Human Resources Consultant. Funding for the on-going consulting services as well as the addition of new positions have been anticipated in CEA’s financial pro-forma and costs have been built into the current rates. The costs for both the consulting services contracts and new positions will be included in the draft FY 2022/23 budget based on direction received from the Board.
ATTACHMENTS
None
Staff Report
DATE: March 31, 2022
TO: Clean Energy Alliance Board of Directors
FROM: Barbara Boswell, Chief Executive Officer
ITEM 4: Consider Appointments for Clean Energy Alliance Community Advisory Committee for Cities of Escondido and San Marcos
RECOMMENDATION:
1) Approve Clean Energy Alliance Community Advisory Committee Nominees for City of Escondido – one for term ending December 31, 2024, and one for term ending December 31, 2025. 2) Approve Clean Energy Alliance Community Advisory Committee Nominees for San Marcos – for term ending December 31, 2024, and one for term ending December 31, 2025.
BACKGROUND AND DISCUSSION:
Clean Energy Alliance Community Advisory Committee (CAC) Policy establishes that the CAC is made up of two appointees from each CEA member agency. With the additions of Escondido and San Marcos to CEA, the CEA Board directed staff to open applications seeking candidates to represent the new cities.
Applications were accepted through March 18, 2022, with three applications received for each city.
Applications received by the CEA Board Secretary from individuals interested in serving on the CAC were provided to board members based on the community the applicant was from. The Board members are to nominate a candidate to fill the term expiring on December 31, 2024, and another to fill the term expiring on December 31, 2025.
The CAC meets bi-monthly on the first Thursday of each month and addresses a workplan established by the CEA Board.
FISCAL IMPACT
There is no fiscal impact by the addition of the new members to the CAC.
ATTACHMENTS
None
Staff Report
DATE: March 31, 2022
TO: Clean Energy Alliance Board of Directors
FROM: Barbara Boswell, Chief Executive Officer
ITEM 5: Consider Options and Provide Direction Related to In-Person Meeting Location for Clean Energy Alliance Board and Community Advisory Committee Meetings and Consider Rescheduling April 28, 2022, CEA Regular Board Meeting
RECOMMENDATION:
1) Consider options and select a location for in-person Clean Energy Alliance (CEA) Board and Community Advisory Committee meetings should CEA be required to return to in-person meetings and authorize the Chief Executive Officer to execute a reimbursement agreement with the selected City. 2) Consider rescheduling the April 28, 2022, CEA Regular Board Meeting to another date; direct staff to Post Notice of Cancellation of April 28, 2022, CEA Board Meeting and Notice of Special Meeting for new Meeting Date, pursuant to the Brown Act.
BACKGROUND AND DISCUSSION:
Pursuant to Government Code Section 54943(e), Clean Energy Alliance (CEA) has been holding its Board and Community Advisory meetings remotely via video and telephonic means. It is unknown when the state of emergency will be lifted, with the option to meet remotely being eliminated and a need to return to meet in-person pursuant to the Brown Act.
Prior to March 2020, when the current remote meeting policy began, CEA’s Board meetings were rotated between the then three member agencies of Carlsbad, Del Mar and Solana Beach. While this provided the ability for the public to attend a meeting in their home city, there were some challenges with this practice. They include:
• Lack of consistency of broadcasting meetings
o Meetings were broadcasted via the host city’s channels, resulting in each meeting being broadcast on a different network causing confusion for the public desiring to watch the live meeting broadcast
• Lack of consistency of agenda posting
o The physical agenda was posted in a different location each meeting based on where the meeting was being held, resulting in the public not easily finding the physical agenda
March 31, 2022
In-Person Meeting Location
• Different procedures needed to be followed by CEA staff for agenda preparation o Each host city had its own requirements for agenda preparation that CEA staff needed to follow, complicating the agenda preparation process.
In preparation for the potential return to in-person meetings, and in light of the expansion to the cities of Escondido and San Marcos, the CEA Board identified the cities of Carlsbad and San Marcos as top options and directed staff to meet with these cities to further evaluate the feasibility of CEA’s meetings being held at each location.
Priorities for CEA in selecting a location include:
• Geographic proximity to all member cities
• Broadcast capabilities to allow for broadcasting on CEA’s YouTube channel • Appropriate meeting space to hold public meetings pursuant to the Brown Act • Cost to CEA and impact to hosting city staff
With the direction provided, staff met with both the cities of Carlsbad and San Marcos to evaluate the feasibility of those cities hosting CEA’s meetings. Summaries of those meetings are provided below.
City of Carlsbad
After careful consideration and discussion, it was determined that Carlsbad could host CEA’s meetings with livestreaming through CEA’s YouTube channel. This would be accomplished by CEA acquiring the needed equipment to enable the signal from Carlsbad’s audio-visual equipment to be sent to CEA’s YouTube channel. CEA would provide support staff through their contract with Tripepi Smith for the Livestream and Carlsbad’s audio-visual consultant would be on site to ensure all equipment is working properly. Below is a summary of related costs.
PROCEDURE COST NOTES
Carlsbad AVI Support
provided through
Carlsbad’s consultant
$125/hour CEA to reimburse
Carlsbad at their costs
Camera Operation TBD To be provided by
Tripepi Smith
Equipment to enable
Livestreaming to YouTube
TBD Tripepi Smith to provide
Equipment
TOTAL EST. COST $125/hour/meeting +
Tripepi Smith costs TBD
March 31, 2022
In-Person Meeting Location
City of San Marcos
The City of San Marcos is set up to stream meetings from their broadcast equipment to YouTube, so no additional equipment purchases are needed.
PROCEDURE COST NOTES
San Marcos support would
be provided through San
Marcos’ consultant
$40/hour CEA to reimburse San
Marcos at their costs
Camera Operation Included above To be provided by San
Marcos consultant
Equipment to enable
Livestreaming to YouTube
N/A Already in place at San
Marcos
TOTAL EST COST $40/hour/meeting
While both Carlsbad and San Marcos options are viable, San Marcos offers the most turn-key option at the lowest on-going cost for hosting of CEA’s public meetings. In either option, CEA would reimburse the host city for costs related to CEA’s meetings, which would be memorialized by execution of a reimbursement agreement between CEA and the selected agency.
There is no current plan for CEA to return to in-person meetings while the current state of emergency is in effect and Government Code Section 54943(e) findings can be met. Continuing to meet remote allows members of the public to participate in CEA’s meetings without traveling to the in-person location, as well as eliminating the impact of CEA Board and staff traveling to the location.
Reschedule of April 28, 2022
Due to unforeseen scheduling conflicts, staff is requesting CEA Board consideration of rescheduling the April 28, 2022, meeting. Options for Board consideration:
• Thursday April 21, 2022; 2pm
• Tuesday April 26, 2022; 2pm
• Wednesday April 27, 2022; 2pm
• Other Date as determined by CEA Board
FISCAL IMPACT
Funds are available in FY 21/22 budget for a Human Resources Consultant. Funding for the on-going consulting services as well as the addition of new positions have been anticipated in CEA’s financial pro-forma and costs have been built into the current rates. The costs for both the consulting services contracts and new positions will be included in the draft FY 2022/23 budget based on direction received from the Board.
ATTACHMENTS
None