Clean Energy Alliance - Board of Directors
Regular Meeting Minutes
June 30, 2022, 2:00 p.m.
City of Solana Beach|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 2:00 p.m.
ROLL CALL: Board Members: Inscoe, Musgrove, Acosta, Vice Chair Druker, Chair Becker
FLAG SALUTE: Chair Becker led the flag salute.
BOARD COMMENTS & ANNOUNCEMENTS: None
REPORT FROM COMMUNITY ADVISORY COMMITTEE CHAIR REGARDING JUNE 2, 2022, MEETING: CAC Committee Chair Dwight Worden reported that new members were welcomed; a comprehensive Brown Act review was presented by General Counsel Thorson; committee discussion ensued regarding potential newsletter but decided that social media is best way to conduct outreach at this time; and the formation of Local Programs, Outreach to Underserved Communities, and Electric Vehicles subcommittees.
GENERAL COUNSEL – ITEM 6 - CEO Boswell noted that General Counsel Thorson was not in attendance and attempted to reach her, unsuccessfully. Johanna Canlas, Counsel at Burke, Williams, & Sorenson, made recommendations on how to proceed and stated she is happy to support the Board for the meeting.
Motion by Chair Becker, second by Vice Chair Druker, to consider ITEM 6 as the first order of business.
Motion carried unanimously, 5/0.
Item 6: Consider Approval of Agreement with Burke, Williams, & Sorensen, LLP to Provide General Counsel Services
RECOMMENDATION
Approve Agreement with Burke, Williams, & Sorensen, LLP to provide General Counsel services for an annual amount not to exceed $120,000, beginning July 1, 2022, and authorize the Chief Executive Officer to execute all documents subject to General Counsel approval.
Motion by Vice Chair Druker, second by Board Member Acosta, to approve the modified recommended action adjusting the agreement dates to June 30, 2022, through June 30, 2023.
Motion carried unanimously, 5/0.
PRESENTATIONS: None
PUBLIC COMMENT: None
DocuSign Envelope ID: 3082BFCE-E891-47F9-9227-C013A78482FF
APPROVAL OF MINUTES
May 19, 2022, Special Meeting Minutes
May 26, 2022, Regular Meeting Minutes
Motion by Member Musgrove, second by Member Inscoe, to approve the minutes of the special meeting held May 19, 2022, and the regular meeting held May 26, 2022.
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
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 April 2022 activity.
Item 3: Approve Amendment of Bayshore Consulting Group, Inc. Agreement Revising Interim Board Clerk to Interim Secretary through June 30, 2023
RECOMMENDATION
Approve amendment of Bayshore Consulting Group, Inc. Agreement revising Interim Board Clerk to Interim Board Secretary and increase in not to exceed amount from $215,280 to $219,360 through June 30, 2023.
Item 4: Consider Approval of Clean Energy Alliance Policy Regarding the Distribution of Complimentary Tickets or Passes Pursuant to FPPC Regulation 18944.1
RECOMMENDATION
Approve Clean Energy Alliance Policy Regarding the Distribution of Complimentary Tickets or Passes Pursuant to FPPC Regulation 18944.1
Item 5: Declare Community Advisory Committee Vacancies for City of Solana Beach and City of Del Mar
DocuSign Envelope ID: 3082BFCE-E891-47F9-9227-C013A78482FF
RECOMMENDATION
Declare Community Advisory Committee Vacancies for City of Solana Beach for term through 2023 and City of Del Mar for term through 2022 and direct application period to be open through August 1, 2022.
Motion by Chair Becker, second by Vice Chair Druker, to approve the consent calendar.
Motion carried unanimously, 5/0.
New Business
Item 6: Consider Approval of Agreement with Burke, Williams, & Sorensen, LLP to Provide General Counsel Services
RECOMMENDATION
Approve Agreement with Burke, Williams, & Sorensen, LLP to provide General Counsel services for an annual amount not to exceed $120,000, beginning July 1, 2022, and authorize the Chief Executive Officer to execute all documents subject to General Counsel approval.
This item was considered as the first order of business and approved unanimously, 5/0 with date modification as stated above, prior to Consent Calendar.
Item 7: Clean Energy Alliance Chief Executive Officer Operational, Administrative and Regulatory Affairs Update
RECOMMENDATION
Receive and file Community Choice Aggregation Update Report from Chief Executive Officer and Regulatory Affairs Report from Special Counsel Tosdal APC.
CEO Barbara Boswell updated the Board focusing on CEA expansion, presenting an overview for the Escondido and San Marcos April 2023 launch noting that the CPUC has certified the Implementation Plan Amendment; the first procurement related action pertaining to Resource Adequacy (RA) was filed; and energy hedge procurement commenced. Next an overview of the CEA expansion into Oceanside, Vista, and San Clemente with a 2024 service launch plan was presented noting that Oceanside has adopted a resolution to join CEA and an ordinance establishing a CCA as did Vista City Council in June 2022. San Clemente is scheduled to consider the same at the July 19, 2022, City Council meeting.
Regulatory Counsel Ty Tosdal updated the Board on the following items: SDG&E General Rate Case commenting that this rate case deals primarily with transmission and distribution, equipment and systems, and public programming. SDG&E is seeking $286 million, or 6.7 increase in its annual revenue requirement for electric beginning January 1, 2024, with 2024 being the Test Year and the post-test years being the three subsequent years. Typical residential customers using 400kWH/month would see a monthly increase of $9.00 per month. In addition, SDG&E proposed revenue hikes to increase the revenue requirement for combined electric and gas by an additional 30.2% cumulatively from 2025- 2027, beyond the 6.7% increase proposed for the 2024 Test Year which would affect both DocuSign Envelope ID: 3082BFCE-E891-47F9-9227-C013A78482FF CEA and SDG&E customers. CEA and San Diego Community Power filed a protest to the application and will report back to the Board as the proceedings progress regarding the Resource Adequacy Proposed Decision the California Public Utilities Commission (CPUC) adopted SCE’s 24-hour proposal requiring energy providers to have capacity to satisfy gross load profile in all 24 hours of the single day in the month that contains the hour with the highest coincident peak load forecast, full implementation schedule is two years.
Vice Chair Druker inquired if the RA changes would have come happened without CCAs and Mr. Tosdal responded that the CPUC RA regime had issues prior to CCAs and the rise of CCA programs has exposed existing issues that the positions each party took in the proceeding reflected the strength of their portfolios and the utility proposals benefit the utilities. CEO Boswell commented that having CCAs operating in this space does not increase the risk of unreliability or brown outs to customers and that while RA is a challenge that the state is working toward it is not a challenge that was created by nor made worse by the creation of CCAs.
Mr. Tosdal updated the Board on AB 2838 commenting that this bill would have clarified the CPUC’s right to terminate Green Tariff Shared Renewables (GTSR) programs and permitted the CPUC to charge non-participant ratepayers for costs associated with the program. Both CEA and SDCP opposed the bill unless amended to remove the cost recovery language. Lobby effort focused on costs and violation of the ratepayer indifference principle, SDG&E agreed to drop the cost recovery language and the bill moves forward with termination language; regarding SDG&E Application to Terminate GTSR and Disadvantaged Community Greet Tariff (DAC-GT), SDG&E is seeking CPUC authorization to terminate its allocated megawatts (MW) portion of Community Solar Green Tariff (CSGT) and DAC-G programs and seeking to recover uncollected GTSR costs. CCAs will push back on recovery cost and will support the termination of the programs. CEO Boswell commented that anyone enrolled in SDG&E’s EcoChoice 100% renewable will no longer have that power supply product and that CEA does offer a 100% renewable energy power supply choice that is Green Impact at a low premium and that although CEA does not currently have any territory designated as disadvantaged as CEA grows it will seek approval of DAC-GT programs when warranted; and regarding Clean Energy Financing proposals under consideration for clean energy devices and equipment – proposals are diverse and target different customer segments and include on bill financing (OBF), rebates, energy efficiency funding, and utility rates. Updates will be forthcoming.
Chair commented that CEA may want to place a website link to any of the equipment financing proposals such as the electric water heating that might be of interest to customers.
CEA Board received and filed report.
Item 8: Consider Resolution 2022- 003 Approving Clean Energy Alliance Proposed Fiscal Year 2022/23 Budget and Related Actions
RECOMMENDATION
Adopt Resolution 2022-003 Approving Clean Energy Alliance Proposed Fiscal Year 2022/23 Budget.
DocuSign Envelope ID: 3082BFCE-E891-47F9-9227-C013A78482FF CEO Boswell presented the item giving an overview of the proposed budget and revisions based on Board direction indicating that a 5% reserve contribution is met.
Motion by Vice Chair Druker, second by Board Member Acosta, to approve the recommended action.
Motion carried unanimously, 5/0.
Item 9: Consider Authorization of Execution of Agreement with Resi Station, LLC for Resource Adequacy
RECOMMENDATION
Authorize Board Chair and Chief Executive Officer to Execute Agreement with Resi Station, LLC for Resource Adequacy, for a Ten (10) Year Term with Deliveries Beginning January 2023 for an amount not to exceed $2.0MM in compliance with California Public Utilities Commission Mid-Term Reliability Procurement Mandate.
CEO Boswell presented the item commenting that the CPUC Decision 21-06-035 requires procurement of additional resources for replacement of energy provided by Diablo Canyon as well as other requirements. New projects are required to be online by August 1, 2023, June 1, 2024, or June 1, 2025; must be available for a minimum of ten years and be non-fossil fueled.
Resi Station meets procurement requirements established by CPUC and was selected from a joint solicitation that rendered responses representing 80 projects.
Motion by Vice Chair Druker, second by Board Member Inscoe, to approve the recommended action.
Motion carried unanimously, 5/0.
Item 10: Consider Authorization of Execution of Agreement with San Diego Gas & Electric for Renewable Energy through the Voluntary Allocation Market Offer Process
RECOMMENDATION
Authorize Board Chair and Chief Executive Officer to Execute Agreement with San Diego Gas & Electric to Execute Agreement with San Diego Gas & Electric for Renewable Energy through the Voluntary Allocation Market Offer Process and Direct Staff to Return to Board for Ratification of the Final Agreement.
CEO Boswell presented the item commenting that CPUC Decision 21-05-030 requires SDG&E to offer voluntary allocations of its renewable energy portfolio to CCAs with deliveries of contracts to begin in January 2023. Allocations are for projects currently online and generating power and will assist CEA to meet renewable energy requirements in the short term. In addition, the allocations come from resources included in Power Charge Indifference Adjustment (PCIA) portfolio and should decrease the exit fees customers are currently paying SDG&E. Due to condensed timeline pursuant to CPUC decision the deadline for CEA to execute and return the agreement is July 29, 2022.
Board Member Musgrove inquired regarding the cost benefit to CEA and CEO Boswell responded that the cost is based on current market value.
DocuSign Envelope ID: 3082BFCE-E891-47F9-9227-C013A78482FF Motion by Board Member Musgrove, second by Vice Chair Druker, to approve the recommended action.
Motion carried unanimously, 5/0.
BOARD MEMBER REQUESTS FOR FUTURE AGENDA ITEMS: None
PUBLIC COMMENT: Addressing the Board was Sonja Robinson expressing excitement and gratitude for the clean energy provided to the north county and to the new city jurisdictions that have joined CEA.
ADJOURN: Chair Becker adjourned the meeting at 3:09 p.m. _______________________________________
Susan Caputo, MMC
Interim Board Clerk
DocuSign Envelope ID: 3082BFCE-E891-47F9-9227-C013A78482FF