Executive Committee of the
Clean Power Alliance of Southern California
Regular Meeting
Wednesday, April 19, 2023
1:30 p.m.
Visit CPA’s YouTube Channel to view a Live Stream of the Meeting www.youtube.com/@CPApublicmeetings
*There may be a streaming delay of up to 90 seconds. This is a view-only live stream.
CPA Office
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
Members of the public may also participate in this meeting remotely at the following locations:
Agoura Hills City Hall
Planning Conference Room
30001 Ladyface Court
Agoura Hills, CA 91301
Ojai City Hall
Conference Room
401 S Ventura St.
Ojai, CA 93023
Beverly Hills City Hall
Council Office, 4th Floor
455 N. Rexford Drive
Beverly Hills, 90210
Sierra Madre City Hall
Council Chambers
232 W. Sierra Madre Blvd.
Sierra Madre, CA 91024
Camarillo City Hall
Administrative Conference Room
601 Carmen Drive
Camarillo, CA 93010
Ventura County Government Center
Point Mugu Conference Room, 4th Floor
Hall of Administration
800 South Victoria Avenue
Ventura, CA 93009
South Bay Cities Council of Governments
Conference Room
2355 Crenshaw Blvd., Suite 125
Torrance, CA 90501
UCLA Faculty Club
Executive Board Room
480 Charles E. Young Drive East
Los Angeles, CA 90095
PUBLIC COMMENT: Members of the public may submit their comments by one of the following options:
• Email Public Comment: Members of the public are encouraged to submit written comments on any agenda item to [email protected] up to four hours before the meeting. Written public comments 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. • Provide Public Comment During the Meeting: The General Public Comment item is reserved for persons wishing to address the Committee on any Clean Power Alliance-related matters not on today’s agenda. Public comments on matters on today’s Consent Agenda and Regular Agenda shall be heard at the time the matter is called. Comments on items on the Consent Agenda are consolidated into one public comment period. Members of the public who wish to address the Committee at CPA’s Office are requested to complete a comment card and provide it to staff. If you Agenda Page 1
are attending from a remote location, please identify yourself to a CPA representative when your item is called. Each speaker is limited to two (2) minutes (in whole-minute increments) per agenda item with a cumulative total of five 5 minutes to be allocated between the General Public Comment, the entire Consent Agenda, or individual items in the Regular Agenda. Please refer to Policy No. 8 – Public Comment for additional information.
NAVIGATING OUR AGENDA PACKETS
The meeting agenda packets are bookmarked PDFs, which display a list of agenda items to the left of the page and allow you to click to view specific items within the packet. If viewing in your browser, click the "document outline" button in the upper left corner of the screen. If the PDF is downloaded, the bookmark panel (ribbon icon) appears on the left side of the screen.
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 Clerk of the Board at least two (2) working days before the meeting at [email protected] or (213) 713- 5995. Notification in advance of the meeting, while not required, will enable us to make reasonable arrangements to ensure accessibility to this meeting and the materials related to it.
CALL TO ORDER AND ROLL CALL
GENERAL PUBLIC COMMENT
CONSENT AGENDA
1. Approve Minutes from March 15, 2023, Executive Committee Meeting
REGULAR AGENDA
2. Oral Update from the CEO on CPA Operations
CLOSED SESSION
3. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED LITIGATION Exposure to litigation pursuant to paragraph (2) or (3) of subdivision (d) of Section 54956.9: 1
REGULAR AGENDA (continued)
4. Review Draft Agenda for the May 4, 2023, Board of Directors Meeting
5. Provide Recommendation for Fiscal Year 2023/2024 Rates Approach
6. Review Fiscal Year 2023/2024 Budget Priorities
7. Provide Feedback on Expanding Energy Procurement Options
COMMITTEE MEMBER COMMENTS
ADJOURN – NEXT REGULAR MEETING ON MAY 17, 2023
Public Records: Public records that relate to any item on the open session agenda for a Committee Meeting are available for public inspection. Those records that are distributed less than 72 hours prior to the meeting are available for public inspection at the same time they are distributed to all, or a majority of, the members of the Committee. Public records are available for inspection at CPA’s Office at 801 S. Grand Ave., Suite 400, Los Angeles, CA 90017, or online at www.cleanpoweralliance.org/agendas.
Agenda Page 2
Executive Committee Item 1
MINUTES
Executive Committee of the
Clean Power Alliance of Southern California
Regular Meeting
Wednesday, March 15, 2023
1:30 p.m.
Meeting videos are available on CPA’s YouTube Channel.
www.youtube.com/@CPApublicmeetings
Committee Members participated in this meeting from the following locations:
Agoura Hills City Hall
Planning Conference Room
30001 Ladyface Court
Agoura Hills, CA 91301
CPA Office
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
Beverly Hills City Hall
4th Floor
455 N. Rexford Drive
Beverly Hills, 90210
Camarillo City Hall
Administrative Conference Room
601 Carmen Drive
Camarillo, CA 93010
South Bay Cities Council of Governments
Conference Room
2355 Crenshaw Blvd., Suite 125
Torrance, CA 90501
Ojai City Hall
Conference Room
401 S Ventura St.
Ojai, Ca 93023
Sierra Madre City Hall
Council Chambers
232 W. Sierra Madre Blvd.
Sierra Madre, CA 91024
Ventura County Government Center
Point Mugu Conference Room, 4th Floor
Hall of Administration
800 South Victoria Avenue
Ventura, CA 93009
Los Angeles County Hall of Administration
Sybill Brand Conference Room, Room 372
500 West Temple Street
Los Angeles, CA 90012
CALL TO ORDER & ROLL CALL
Chair Gold called the meeting to order at 1:30 p.m. and Raynette Tom, Executive Assistant, conducted roll call.
Roll Call
Agoura Hills Deborah Klein Lopez Committee Member Remote Beverly Hills Julian Gold Chair Remote
Camarillo Susan Santangelo Committee Member Remote
Hawthorne Alex Monteiro Committee Member Remote
Agenda Page 3
Clean Power Alliance Executive Committee Page 2 of 3
March 15, 2023 Minutes
Los Angeles County Lindsey Horvath Vice Chair Remote
Ojai Absent
Sierra Madre Robert Parkhurst Committee Member Remote
South Pasadena Diana Mahmud Immediate Past Chair Present Ventura County Vianey Lopez Vice Chair Remote
All votes are unanimous unless otherwise stated.
GENERAL PUBLIC COMMENT
There was no public comment.
CONSENT AGENDA
1. Approve Minutes from February 15, 2023, Executive Committee Meeting Motion: Vice Chair Horvath, Los Angeles County
Second: Committee Member Parkhurst, Sierra Madre
Vote: The consent agenda was approved by a roll call vote.
CLOSED SESSION
2. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION Exposure to litigation pursuant to paragraph (2) of subdivision (d) of Section 54956.9: 1
Nancy Whang, General Counsel, reported that no reportable action was taken.
REGULAR AGENDA
3. Review Draft Agenda for the April 6, 2023, Board of Directors Meeting Ted Bardacke, CEO, discussed the Board consent agenda items, including the net energy metering cash out policy; budget adjustments in cost of energy, interest expenses due to the use of the credit line, and a small increase to the data manager costs as a result of a higher than anticipated number of customers.
Mr. Bardacke reviewed items on the regular agenda, including two nominations for the election of an at-large position on the Executive Committee. The two nominees will submit a brief description of who they are and what they hope to accomplish with CPA. Committee Member Klein Lopez expressed a preference for an alternate method of roll call vote. Ms. Whang indicated that staff is working diligently to find alternate methods for roll call voting, but also meet the requirements of the law.
Mr. Bardacke indicated that another item on the regular agenda is the authorization from the Board for another prepay bond transaction. Committee Member Parkhurst thanked staff for their work to educate new Board members on the topic of prepay bonds and asked about the benefits of obtaining a green bond status. David McNeil, Chief Financial Officer, identified that a green bond status makes the bond itself more marketable and attractive to institutional investors who will accept a slightly lower yield, which benefits CPA and increases savings. Mr. Bardacke Agenda Page 4
Clean Power Alliance Executive Committee Page 3 of 3
March 15, 2023 Minutes
reviewed other items on the regular agenda, including an informational presentation on the local government sustainability assistance program to gather feedback, as the program will be included as a line item in the budget for customer programs.
4. Preview of FY 2023/2024 Rate Setting Process
Matt Langer, Chief Operating Officer, provided a presentation on the rate setting process of FY 2023/2024. Staff are in the process of conducting a Cost of Service (COS) study analyzing how the cost to serve CPA’s customers compares to current rates and concurrently updating CPA’s financial projections for the next fiscal year. Mr. Langer reviewed the product price differentials amongst CPA’s three rate products. The COS analysis indicates a widening of the product price differential among the three rate products; this is mainly driven by the increased cost of short-term renewable energy offset somewhat by the overall rising cost of energy in general. Mr. Langer shared that the Board may consider adjusting the product differentials during rate setting to more closely follow the current COS. Mr.
Langer reviewed the April 2023 typical bill comparisons to Southern California Edison (SCE) once the interim rate adjustment goes into effect. As part of the FY 2023/24 rate setting process, staff will recommend reconciling some of the variances amongst non-subset rate classes. Staff will update the COS study based on updated financial projects, and key insights from this analysis will be shared with the Board in April. Mr. Langer reviewed upcoming timelines for the 2023/24 rate setting process and budget.
COMMITTEE MEMBER COMMENTS
There were no committee member comments.
ADJOURN
Chair Gold adjourned the meeting at 2:49 p.m.
Agenda Page 5
Staff Report – Agenda Item 2
To: Executive Committee
From: Ted Bardacke, Chief Executive Officer
Subject: Oral Update from the CEO on CPA Operations
Date: April 19, 2023
The CEO will provide an oral report on CPA operations.
Agenda Page 6
Staff Report – Agenda Item 4
To: Executive Committee
From: Ted Bardacke, Chief Executive Officer
Subject: Review Draft Agenda for May 4, 2023 Board of Directors Meeting Date: April 19, 2023
Staff will provide an overview of the proposed agenda items for the May 4, 2023, Board of Directors meeting for review and feedback from the Executive Committee. The draft Board agenda is attached to this staff report. Information on the main items for Board consideration is provided below.
CONSENT AGENDA
The following action items are recommended for inclusion on the Consent Agenda of the May Board meeting.
Community Advisory Committee Appointments
Staff recommends appointing two new CAC members to fill the open seats in the South Bay Cities Regions (Carson, Hawthorne, Manhattan Beach, Redondo Beach, and Rolling Hills Estates), which were recently vacated. The list of current CAC members and recommended new candidates for appointment are included as Attachment 2.
Additionally, the recommended South Bay candidate applicant summaries are also included as Attachment 3 to this staff report.
2023 Clean Energy RFO Consultant
Staff will propose a contract to assist with administering CPA’s 2023 Clean Energy Request for Offers (RFO). A Task Order solicitation was issued on April 7, 2023 and responses will be due on April 19, 2023. This contract is expected to be substantially similar to the 2022 contract for similar services for CPA’s 2022 Mid-Term Reliability RFO.
Agenda Page 7
Executive Committee Item 4
California Energy Commission (CEC) Load Management Standards Compliance Extension Request
The CEC has mandated that CCAs, as well as IOUs and POUs, comply with its new Load Management Standards (LMS) protocol, which requires LSEs to upload their time-varying rates onto the Market Informed Demand Automation Server (MIDAS), developed by the CEC, and develop electricity rates that would change on an hourly basis depending on locational marginal pricing and greenhouse gas emissions. CPA’s submission of its first LMS compliance filing is due on July 1, 2023.
To date, the CEC has not provided final compliance guidelines and criteria to all impacted Load Serving Entities. Staff must therefore request authorization from the Board to submit an extension request to the CEC to meet its LMS compliance obligations. The IOUs and other CCAs are submitting similar extension requests. The CEC has advised CCAs that an extension request from the Board is preferred, rather than a staff request as would normally be the case with a regulatory filing.
Contract with Langan Engineering and Environmental Services Over the past two years, CPA has been building an in-house Energy Trading and Risk Management (“ETRM”) system that houses CPA’s energy contract data and is used for position management, financial modeling, payment validation, and other procurement and financial support functions. In October 2022, CPA released an RFP for Software Development and Information Technology Consulting Services to provide support services for ongoing work in building this ETRM system. As a result of the RFP, CPA selected Langan Engineering and Environmental Services (“Langan”) and entered into a Professional Services Agreement with Langan at a Not-To-Exceed (NTE) amount of $35,000 for two of the four tasks solicited in the RFP. To date, Langan has assisted with creating a development site and stabilizing the ETRM system. Now that those two exploratory tasks are complete, CPA is ready to move forward with the remaining two tasks and complete the scope solicited in the RFP for an additional NTE amount of $170,000. The contract amendment proposed to the Board will include tasks such as assistance with ETRM code redesign, system enhancements, and security enhancement.
Agenda Page 8
Executive Committee Item 4
REGULAR AGENDA
The following items are recommended for inclusion on the Regular Agenda of the May Board meeting.
Fiscal Year 2023/2024 Rate Setting Options
This item will be subject to a separate presentation to the Executive Committee.
FY 2023/2024 Budget Priorities
This item will be subject to a separate presentation to the Executive Committee.
Long-Term Power Purchase Agreement(s)
Staff is in the process of negotiating several long-term contracts that the Energy Committee authorized to begin negotiations. Should these negotiations be successful, one or more of those contracts may be presented for consideration.
Summer Reliability
Staff will present an overview of the summer energy market outlook and provide an update on CPA’s efforts to contribute to summer reliability.
Election of Los Angeles County At-Large Executive Committee Position At its April 6, 2023 meeting, the Board of Directors continued this item for the Los Angeles County At-Large position on the Executive Committee. The conclusion of this item will take place at the May 4 Board meeting. Votes that were previously cast by Board members present at the April 6 meeting will be counted in the tally for the May 4 election.
All Los Angeles County Regular Directors may cast their votes using a Voting Form which will be provided in the agenda packet. Voting Forms will be collected by CPA staff commencing at the start of the May 4, 2023 Board meeting up until the item is called.
ATTACHMENTS
1. Draft May 4, 2023, Board of Directors Agenda
2. List of Current CAC Members and Recommended Appointment(s)
3. South Bay Candidate Applicant Summaries
Agenda Page 9
REGULAR MEETING of the Board of Directors of the
Clean Power Alliance of Southern California
Thursday, May 4, 2023
2:00 p.m.
CALL TO ORDER AND PLEDGE OF ALLEGIANCE
ROLL CALL
GENERAL PUBLIC COMMENT
CONSENT AGENDA
1. Approve Minutes from April 6, 2023, Board of Directors Meeting
2. Approve Appointments to the Community Advisory Committee
3. Approve Contract for 2023 Clean Energy RFO Services
4. Approve California Energy Commission Load Management Standards Compliance Extension Request
5. Approve Contract Amendment with Langan Engineering and Environmental Services
6. Receive and File Bill Positions Monthly Report
7. Receive and File Community Advisory Committee Monthly Report
CLOSED SESSION
8. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED LITIGATION Exposure to litigation pursuant to paragraph (2) of subdivision (d) of Section 54956.9: 1
REGULAR AGENDA
Action Items
9. Approve Fiscal Year 2023/2024 Rate Setting Approach
10. Approve Long-Term Power Purchase Agreements(s)
11. Election of Los Angeles County At-Large Position on the Executive Committee Information Items
12. Review FY 2023/2024 Budget Priorities
13. Presentation on Summer Reliability
MANAGEMENT REPORT
COMMITTEE CHAIR UPDATES
BOARD MEMBER COMMENTS
REPORT FROM THE CHAIR
ADJOURN – NEXT REGULAR MEETING ON JUNE 1, 2023
Agenda Page 10
CAC APPOINTEES AND RECOMMENDED APPOINTMENTS (South Bay) East Ventura/West LA County
(Agoura Hills, Camarillo, Calabasas, Moorpark,
Simi Valley, Thousand Oaks)
Appointees
• Angus Simmons
• Debbie West
• Jennifer A. Burke (Vice-Chair)
San Gabriel Valley
(Alhambra, Arcadia, Claremont, Sierra Madre,
South Pasadena, Temple City)
Appointees
• Richard Tom
• Kim Luu
West/Unincorporated Ventura County
(Ojai, Oxnard, Ventura, Unincorporated Ventura
County)
Appointees
• Lucas Zucker
• Vern Novstrup
South Bay
(Carson, Hawthorne, Manhattan Beach, Redondo
Beach, Rolling Hills Estates)
Recommended appointments:
• Cort Casady
• Diane Wallace
Gateway Cities
(Downey, Hawaiian Gardens, Paramount,
Whittier)
Appointees
• Genaro Bugarin (Vice-Chair)
• Dr. Irella Perez
Westside
(Beverly Hills, Culver City, Malibu, Santa Monica,
West Hollywood)
Appointees
• Cris Gutierrez
• David Haake
Unincorporated LA County
Appointees
• Neil Fromer
• Kristie Hernandez
Agenda Page 11
2023 Community Advisory Committee New Applicant Summary Candidate: Cort Casady Subregion: South Bay Eligible Candidate: Yes Section 1: Personal Information
A. Home Address: Palos Verdes Peninsula, CA
B. Occupation: Writer, Producer, and Author
Section 2: Qualifications
A. Experience serving on advisory committees / public commissions / similar bodies:
• Member, Manhattan Beach Library Commission, 2015-2018; Member, Writers Guild of America West, 1979-Present, including Executive Producer of the "Writers Guild Awards" in 2005, 2006, 2009, 2013 & 2014; "Earthbeat/Network Earth," television's first weekly environmental series, Co-creator & Show Producer,TBS (1989-1994); "100% Possible: The Battle for the World's Energy Future," feature documentary film, writer-producer-researcher, 2018- Present B. Experience with outreach or community leadership:
• As a Manhattan Beach Library Commission member, we made community outreach our mission, both to encourage the use of the library and support library activities designed to serve specific parts of the community -- students, teachers, seniors, and local businesses. As a commissioner, I initiated the Library Lunch Club, where community members and local merchants could come to the library’s multipurpose room for lunch and hear an author speak about his/her book. We also enrolled the Boy Scouts to rehabilitate the Free Little Libraries around the area which were dilapidated and in need of repair and/or maintenance. I have also been active in several Assembly and City Council campaigns to support candidates who have strong environmental records and support the underlying basic tenets of the Green New Deal.
C. Experience or expertise in energy field:
• In the early 90's I was co-creator and show producer of television's first weekly environmental series. In that role, I oversaw the presentation of information about energy-saving programs and technology of the time. In my role as a producer and lead researcher for the documentary, "100% Possible: The Battle for the World's Energy Future," I have spent countless hours over the past 3 1/2 years researching clean, renewable energy technology, and solutions, climate injustice in places like Wilmington, and the ground-breaking work of Stanford University climate scientist Mark Jacobson. In the course of my research, I've conducted numerous telephone interviews with experts and front-line activists, engaged deeply and frequently with the leadership of The Solutions Project (www.thesolutionsproject.org), and spoken to leadership at a number of other organizations, including on one brief occasion, the ED of the CPA. I've also written and produced all of the concept papers and presentational materials associated with developing the film, including our current pitch Deck and video Teaser (available upon request).
D. Other skills / knowledge / experience to bring to Committee:
• I bring strong writing and communications skills developed over more than three decades as a television and documentary writer-producer-show runner responsible for managing large and small teams in the delivery of live and recorded entertaining and difference-making content for major networks and studios.
Section 3: Additional Information
A. Why you are interested / what you hope to achieve:
• I'm passionate about the urgent need for America and the world to transition to clean, renewable energy, specifically electricity generated solely by wind, water, and the sun with storage for everything.
As a father of triplet sons who are 28, 28, and 28, and a grandfather with four granddaughters (7, 4, 2 and a newborn), I want my life's work from now on to be about slowing global warming, advancing climate justice, and creating jobs in the green industrial revolution.
Agenda Page 12
B. List other languages / ability to support non-English speaking communities:
• n/a
C. Anything else you would like CPA to know:
• I am semi-retired and can make ample time to work with the CPA. While I continue to serve as Supervising Producer of the annual, televised American Film Institute (AFI) Life Achievement Tributes to America's leading actors and filmmakers, which occupies about eight weeks of the year (May and June), I am committed to the principles of the CEA and the work it does, and I'm eager to contribute whatever I can to its success.
• I look forward to serving the two-year term and attending meetings.
Section 4: Commitment
A. I am able to attend meetings, serve a two-year term, and work to help the organization meet its mission and goals.
B. Signed to certify electric holder in CPA service territory and meet eligibility requirements? Yes.
Agenda Page 13
2023 Community Advisory Committee New Applicant Summary Candidate: Diane Wallace Subregion: South Bay Eligible Candidate: Yes Section 1: Personal Information
C. Home Address: Manhattan Beach, CA
D. Occupation: Retired Public School Educator
Section 2: Qualifications
E. Experience serving on advisory committees / public commissions / similar bodies:
• As a public school educator, my experience included teaching and serving as a principal, district administrator and statewide project director. In these roles, I also served as a member of a bond advisory committee. I have served as a Board member for non-profits. For 12 years, I served as a member and President of my HOA.
F. Experience with outreach or community leadership:
• I served on the planning committee for the development of CPA in my area. I am on the Sierra Club Water Committee and the CADEM Environmental Caucus. I also serve on the Advisory Committee for the SoCal Water Dialog, sponsored by the Metropolitan Water District.
G. Experience or expertise in energy field:
• As an HOA Board President, I engaged in a process with SoCal Edison and the CPUC which resulted in establishing a special project to address a faulty underground electrical system.
H. Other skills / knowledge / experience to bring to Committee:
• I am bilingual in English and Spanish. I also installed solar panels on my roof about 8 years ago.
Section 3: Additional Information
D. Why you are interested / what you hope to achieve:
• David Lesser was aware of the opening and recalled my participation in the planning committee for the CPA. I was pleased to learn of the advisory committee and would like to serve.
E. List other languages / ability to support non-English speaking communities:
• Spanish
F. Anything else you would like CPA to know:
• N/A
Section 4: Commitment
C. I am able to attend meetings, serve a two-year term, and work to help the organization meet its mission and goals.
D. Signed to certify electric holder in CPA service territory and meet eligibility requirements? Yes.
Agenda Page 14
Staff Report – Agenda Item 5
To: Executive Committee
From: Karen Schmidt, Director, Rates & Strategy
Matt Langer, Chief Operating Officer
Approved by: Ted Bardacke, Chief Executive Officer
Subject: FY 2023/2024 Rates Approach
Date: April 19, 2023
RECOMMENDATION
Provide recommendation for FY 2023/2024 rates approach.
ATTACHMENT
1. Presentation on FY 2023/2024 Rates Approach
Agenda Page 15
Item 5 - FY 2023/24
Rate Setting Options
April 19, 2022
Agenda Page 16
Summary
In March the Board adopted interim rates that went into effect on April 1, 2023 to address extraordinary market conditions over the past fall and winter In May the Board will be asked to adopt a rate setting approach for the coming fiscal year that will inform the FY 2023-24 rates to be adopted by the Board in June
Staff is requesting that the Executive Committee recommend to the Board in May a rate setting approach
Staff are updating financial projections which may impact estimated financial metrics and rates submitted to the Board in June
Agenda Page 17
November 2022 – May 2023 (Staff) – FY 2023/24 rate planning; cost of Service study, energy cost projections, load forecasting, and budgeting (ongoing) November 3, 2022 (Board) – First Look at 2023 PCIA and SCE Rates February 2, 2023 (Board) – Energy Market Update and Rate Adjustment Options March 2, 2023 (Board) – Adoption of April 2023 Interim Market Rate Adjustment April 6, 2023 (Board) – FY 2023/24 Rates Outlook
April 19, 2023 (Executive Committee) – Request direction of FY 2023/24 Rates Approach April 20, 2023 (Community Advisory Committee) – FY 2023/24 Rates Approach May 6, 2023 (Board) – Request approval of FY 2023/24 Rate Setting Approach May 17, 2023 (Executive Committee) – Proposed FY 2023/24 Rates June 1, 2023 (Board) – Request approval of Proposed FY 2023/24 Rates 3 FY 2023/24 Rates Process
Agenda Page 18
Considerations for FY 23/24 Rates
FY 22/23 was more challenging than expected due to extraordinary market events in the second half of 2022 and early 2023
The April interim rate adjustment allowed CPA to get closer to its fiscal goals for the current year, but progress toward CPA’s Reserve Policy targets has been slower than expected A favorable competitive environment presents an opportunity to accelerate progress towards achieving mid- and long-term strategic financial goals while balancing other factors:
o Make significant progress toward Board-approved reserve and liquidity targets o Prepare to achieve an investment-grade credit rating
o Prepare for a competitive environment that could be less favorable in 2024 o Maintain CPA’s competitive position and overall value proposition o Prepare for upcoming default changes and new member enrollments o Ensure financial resilience through continuing energy market volatility Agenda Page 19
Product pricing differentials
Bill comparison levels
Update subset rates
Rate approach for new communities enrolling in 2024
5 FY 23/24 Rate Approach Recommendations
Agenda Page 20
Product Differentials
The COS analysis indicates a widening of the product price differential amongst CPA’s three rate products
o The main driver for this widening is the increased cost of short-term renewable energy o Increased energy costs partially mitigate the widening of the differentials between the three rate products
For FY 2022-23, the Board adopted product differentials where 100% Green was priced 3% higher than Clean and 4% higher than Lean
Staff recommends setting the FY 23/24 price differential between 100% Green and Clean to 4% and the differential between 100% Green and Lean to 5% to more closely follow the current COS
o These product differentials assume the following product content: 100% Green: 100% renewables; Clean Power: 50% renewables; Lean Power; 40% clean energy including 20-25% renewables and 15% - 20% sourced from zero-carbon large hydropower
Agenda Page 21
6 April 2023 bill comparisons to SCE
The April rate adjustment utilized an across -the-board percentage increase to all rates resulting in some inconsistencies in bill comparisons and product differentials 7 *Comparisons are based on representative 2018 PCIA vintage rate schedules and load profiles for each rate class, and SCErates as of March 1, 2023. Individual customer comparisons vary by specific rate schedule and customer usage.
Rate Class* Lean PowerClean Power 100% Green Power
Residential -5.8% -4.6% -1.0%
Residential CARE -8.6% -6.8% -6.8%
Small Business -3.5% -2.3% 1.4%
April 2023 Bill Comparisons to SCE
Staff recommends making bill comparisons consistent across residential and small business rate classes based on the Board’s selected FY 23/24 rate approach Agenda Page 22
FY23/24 bill comparison options
The options offer a range of potential outcomes for CPA’s competitiveness, financial and rate stability objectives
8 Scenario
Residential/Small Business
Rate Comparison to SCE* Estimated Financial Metrics at End-FY24 Lean Power Clean Power 100% Green
Power
Contribution
to Net
Position
Reserve %
Days Liquidity
on Hand
(DLOH)
Minimum Reserve -6.0% -5.0% -1.0% $160M 30% 111
Low Reserve -5.0% -4.0% 0.0% $193M 33% 120
Moderate Reserve -4.0% -3.0% 1.0% $225M 35% 129
Midpoint Reserve -2.0% -1.0% 3.0% $290M 40% 148
FY 2023/24 Rate Scenarios
*Comparisons are based on representative 2018 PCIA vintage rate schedules and load profiles for each rate class, and SCE rates as of March 1, 2023.
Individual customer comparisons vary by specific rate schedule and customer usage.
Board approved reserve target is 30% to 50% of operating expenses. A mid level investment grade credit rating typically requires 90 to 150 DLOH. An incremental $80M line of credit would increase DLOH by 23 days for all scenarios.
Staff are updating financial projections which may impact estimated financial metrics and rates submitted to the Board in June.
Agenda Page 23
Bill Comparison Ranges – Residential
Residential Customer Bill Comparisons – FY 23/24 Rate Scenarios* Scenario SCE base
Average Monthly Bill Comparison to SCE
Lean Clean 100% Green Lean Clean 100% Green
April 2023 rates $192 $180 $183 $190 -5.8% -4.6% -1.0%
Minimum Reserve $192 $180 $182 $190 -6.0% -5.0% -1.0%
Low Reserve $192 $182 $184 $192 -5.0% -4.0% 0.0%
Moderate Reserve $192 $184 $186 $193 -4.0% -3.0% 1.0%
Midpoint Reserve $192 $188 $190 $197 -2.0% -1.0% 3.0%
Bill comparisons will be competitive with SCE under all scenarios based on current SCE rates SCE’s June 1 rate change is expected to increase delivery charges and may increase SCE generation rates, potentially strengthening CPA’s competitive position *Comparisons are based on representative 2018 PCIA vintage rate schedules and load profiles for each rate class and SCE rates as of March 1, 2023.
Individual customer comparisons vary by specific rate schedule and customer usage.
Agenda Page 24
Subset Rates
Subset Rate Bill Comparisons – FY 23/24 Rate Scenarios* Rate Schedule
Minimum Reserve Scenario Moderate Reserve Scenario Midpoint Reserve Scenario Lean Clean 100% Green Lean Clean 100% Green Lean Clean 100% Green TOU-GS-3-D -1.0% 0.2% 5.0% 1.5% 2.7% 7.5% 4.0% 5.2% 10.0% TOU-8-D-SEC -1.0% 0.3% 5.2% 1.6% 2.8% 7.8% 4.1% 5.4% 10.4% TOU-PA-2-D -5.8% -4.5% 0.2% -3.3% -2.0% 2.7% -0.8% 0.4% 5.2% TOU-PA-3-D -5.2% -3.8% 0.9% -2.7% -1.4% 3.4% -0.2% 1.1% 6.0% LS-1 11.3% 12.5% 17.4% 13.8% 15.1% 20.0% 16.4% 17.6% 22.6% Large commercial and industrial, pumping and ag, and streetlighting rates, referred to internally as subset rates, have been based on Cost of Service since 2019; less than 9,900 or 1% of CPA customers are on subset rates.
Bill comparisons for subset rates have steadily improved; under the presented FY 23/24 scenarios many customers on subset rates would have at least one option that is less expensive than or very close to SCE rates
*Comparisons are based on representative 2018 PCIA vintage rate schedules and load profiles for each rate class and SCE rates as of March 1, 2023.
Individual customer comparisons vary by specific rate schedule and customer usage.
Agenda Page 25
New member community rate approach
Customers in Hermosa Beach, Monrovia, and Santa Paula will be placed on SCE’s 2023 vintage PCIA rates when CPA begins service in March 2024. Together these new communities represent approximately 4% of CPA’s annual electric consumption.
Staff recommends setting bill comparisons for new member communities at the same level as existing communities for at least the first year of service and delegating to staff the ability to adjust the rates if needed to meet these comparisons as SCE rates change within FY 23/24 The residential 2023 PCIA is currently 1.6 cents/kWh, compared to -0.4 cents/kWh for the 2018 PCIA. Based on the current 2023 PCIA, residential customer bills in the new member communities would be about 6% higher than existing customer bills and higher than SCE base rates if they were placed on the same generation rates
CPA expects to recover the cost to serve the new member communities if their rates are set to match the bill comparisons for existing communities
o The spread between 2018 and 2023 vintage PCIA rates may be smaller in 2024 which would reduce the impact of the PCIA differential
Agenda Page 26
11 Product pricing differentials: Set the product price differential between 100% Green and Clean to 4% and the differential between 100% Green and Lean to 5% Bill comparison levels: Select bill comparison levels for residential and small business rates to support competitiveness and financial goals
o Option 1 – Minimum Reserve Scenario: no change or small bill reduction (not recommended) o Option 2 – Low Reserve Scenario: $1-2 approx. bill increase o Option 3 – Moderate Reserve Scenario: $3-4 approx. bill increase o Option 4 – Midpoint Reserve Scenario: $7-8 approx. bill increase Update subset rates: Update streetlighting, pumping and ag, and large commercial and industrial subset rates to reflect current COS
Rate approach for new member communities: Set bill comparisons for new member communities at the same level as existing communities
12 Recap: FY 23/24 Rate Approach Recommendations
Agenda Page 27
Next Steps
Today, staff is requesting that the Executive Committee recommend a FY 2023/24 rate setting approach to the Board
Staff will present options and ask the Board to approve a FY 2023/24 rate approach at the May Board meeting
Final rate setting will take place at the June Board meeting along with adoption of the FY 2023/24 budget
o This rate setting is mostly technical and will follow the rate approach adopted at the May Board meeting
CPA’s financial projections will be updated prior to the June Board meeting so exact numbers for contribution to net position and days of liquidity on hand will change
Agenda Page 28
Questions
Agenda Page 29
Appendix
Agenda Page 30
Bill Comparison Ranges – Small Business
Small Business Customer Bill Comparisons – FY 23/24 Rate Scenarios Scenario SCE base
Average Monthly Bill Comparison to SCE
Lean Clean 100% Green Lean Clean 100% Green
April 2023 rates $278 $268 $271 $281 -3.5% -2.3% 1.4%
Minimum Reserve $278 $261 $264 $275 -6.0% -5.0% -1.0%
Low Reserve $278 $264 $266 $278 -5.0% -4.0% 0.0%
Moderate Reserve $278 $266 $269 $280 -4.0% -3.0% 1.0%
Midpoint Reserve $278 $272 $275 $286 -2.0% -1.0% 3.0%
*Comparisons are based on representative 2018 PCIA vintage rate schedules and load profiles for each rate class and SCE rates as of March 1, 2023.
Individual customer comparisons vary by specific rate schedule and customer usage.
Agenda Page 31
Credit Rating Metrics
Building liquidity (unrestricted cash and unused line of credit) is critical for achieving an investment grade credit rating
o The key metric for liquidity is Days Liquidity on Hand (DLOH) o DLOH is defined as unrestricted cash and unused lines of credit divided by net operating expenses x 365
CPA is currently in the “adequate” range – 67 DLOH as of Dec 20221 Staff believes that CPA would need to be at least in the middle of the “strong” range to receive an IG rating in the next year
Risk Factor Metric Extremely
Strong Very Strong Strong Adequate Vulnerable Highly
Vulnerable
Liquidity Days Liquidity
on Hand (days) >=270 150-270 90-150 45-90 15-45 <=15
Indicative Credit Rating High IG Medium IG Low IG Sub-IG Agenda Page 32
Staff Report – Agenda Item 6
To: Executive Committee
From: Ted Bardacke, Chief Executive Officer
Subject: FY 2023/2024 Budget Priorities
Date: April 19, 2023
RECOMMENDATION
Review FY 2023/2024 budget priorities.
ATTACHMENT
1. Presentation on FY 2023/2024 budget priorities.
Agenda Page 33
Item 6 - FY 2023/24 Budget Priorities and
Operating Expense Highlights
April 19, 2023
Agenda Page 34
FY 2023/24 Budget Process
January – April 2023 (Staff) – FY 2023/24 Goal Setting, Departmental Budgeting, Rate Design Planning, Energy Cost Projections & Consolidated Budget Planning (ongoing) April 19, 2023 (Executive Committee) – Budget Priorities April 20, 2023 (Community Advisory Committee) – Budget Priorities April 26, 2023 (Finance Committee) – Budget Priorities & Draft FY 2023/24 Operating Expenses Budget May 4, 2023 (Board) – Budget Priorities
May 17, 2023 (Executive Committee) – Draft FY 2023/24 Budget May 24, 2023 (Finance Committee) – Draft FY 2023/24 Budget June 1, 2023 (Board) – Proposed FY 2023/24 Budget
Agenda Page 35
2 2023/2024 Operational Priorities
1. Achieve financial targets, including
Investment Grade Credit Rating
2. Meet renewable procurement and GHG
emissions targets
3. Attract, retain and develop high-performing
and diverse staff
4. Comply with or surpass regulatory and legal
obligations
5. Develop and deliver impactful customer
programs, including mid-term strategic review
6. Implement DEI plan
3 7. Establish and improve processes
8. Update and Implement Data and Systems
Strategic Plan
9. Lead and shape regulatory and policy
discussions
10. Maintain customer participation rates, with
particular emphasis on agencies changing their
default rates
11. Plan for future success, including long-term rate
product strategy
Agenda Page 36
Operating Expense Context
4 Energy market risks continue to be elevated as California continues to experience significant heat events and available electricity supply in California remains constrained.
CPA manages ~$1.25 billion of annual energy costs representing 96% of total costs. In addition, CPA contracts for and operationalizes long-term renewable and storage projects involving billions of dollars of financial commitments.
As the 3rd largest LSE in CAISO and significant supplier of renewable energy, regulatory, political and PR opportunities and scrutiny are multiplying.
Expanding suite of customer programs requires CPA to enhance its ability to acquire customers in addition to retaining them as well as develop technical expertise in new and innovative areas.
Agenda Page 37
Operating Expenses Overview
5 Operating expenses represent 4.3% of total costs. One-fourth of operating expenses are fixed by regulatory, contractual, or policy obligations.
Over the past 12 months, CPA has added staff capacity across the organization (20 new/14 net). These resources have improved internal performance and capacity, slowed the rate of staff attrition, and leveled off consultant and other spending
Increases to opex costs for areas other than staffing and customer programs will be nominal (~$500k)
Rising spending on customer programs and staffing drives projected ~26% rise in operating expenses (~22% inflation adjusted)
Expanding customer programs and local assistance is an organizational priority while consolidating the benefits of staffing progress is dependent on continuing to invest in staff retention and talent acquisition.
CPA has limited ability to impact rates in the short term through adjustments to budgeted energy or operating expenses but can increase impact and reduce risk through these investments.
Agenda Page 38
Notable Budget
Increase Areas
Agenda Page 39
Customer Programs
7 100% Reimbursable
Power Share/Community Solar ($2.7m, CPUC)
Electrification Workforce Development ($516k, NextEra)
Leverage State Resources
Electric Vehicle Charging ($1.3m Program Incentives & Implementation and Communication) Strategic with long-term ROI or community benefits potential Power Response/Demand Response ($1.8m, Program Incentives & Implementation, Communication, and Mailing)
Power Ready/Backup Power ($92k, Technical Services and Communication) Building Electrification Code Incentives ($362k, Program Development and Communication) Electrification Advisor (New) ($377k, Program Incentives & Implementation and Mailing) Local Government Program (New) ($2.7m, Program Incentives & Implementation, Communication, and Mailing)
Solar + Storage (New) ($981k, Program Incentives & Implementation, Communication, and Mailing)
Agenda Page 40
Staffing - Context
8 2022/23: Budgeted headcount of 70 (including one mid-year add). Currently headcount = 62 Turnover rates are improving
Jan 2021 to March 2022 – Hired 35/Net gain of 14
April 2022 to March 2023 – Hired 20/Net gain of 14
Turnover rates are disproportionately high within mid-level management Initial budget accounts for staff growth/inflation/retention efforts in the current fiscal year, while continuing to invest in current staff (~75% of the projected increase) New positions address growth areas (customer programs/communications/marketing/community & board engagement) and reflect the increasing complexity brought on by success (PPA and prepay settlements/data & load management)
Continue to have favorable/leading comps within CCA industry (see slide 11) Agenda Page 41
Agenda Page 42
9 Initial Staffing Budget Projection
10 Initial budget projects staffing costs to increase 43%, from 1.2% of total revenue in Amended FY2022/23 to a still industry-leading 1.3% of revenue in the upcoming year.
FY 2023/24 Staffing Cost Detail $ % of Increase
FY 2022/23 Budget 13,976,000
es, COLA, Merit Increases 1,939,000 32%
COLA (5%) 734,000 12%
Merit/Promotion (8.5%) 890,000 15%
Retention Incentive 1,000,000 17%
New Positions 1,433,000 24%
Subtotal Increase 5,996,000 100%
FY 2023/24 Budget Total 19,972,000
YOY % Increase 43%
Full year impact of 22/23 New Hires, COLA, Merit Increases Placeholder – Structure
Under Development
Up to 9 new positions
Agenda Page 43
Select CCA Metrics and Comparisons
CPA’s metrics for operating expenses and staffing costs compare favorably with industry averages 11 FY2023/24 Budget ($000) CPA (Draft) CCA Avg
MCE (Draft)
FY2023/24
Sonoma
(Draft)
FY2023/24
3CE
FY2022/23
EBCE
FY2022/23
Total Revenue 1,498,000 563,000 800,000 253,000 429,000 770,000 Total Energy Cost 1,252,000 440,000 666,000 194,000 378,000 524,000 Net Energy Revenue 245,000 123,000 134,000 59,000 51,000 246,000 Staffing 19,972 13,000 19,000 8,000 9,000 16,000
Other Operating Expenses 37,000 24,000 21,000 21,000 31,000 23,000 Total Operating Expenses 57,000 37,000 40,000 29,000 40,000 39,000 Net Income 189,000 86,000 94,000 30,000 11,000 207,000
Staffing (% of…)
Revenue 1.3% 2.3% 2.4% 3.2% 2.1% 2.1%
Cost of Energy 1.6% 3.0% 2.9% 4.1% 2.4% 3.1%
Net Energy Revenue 8% 11% 14% 14% 18% 7%
Total Operating Expenses 35% 35% 48% 28% 23% 41%
Net Income 11% 15% 20% 27% 82% 8%
Operating Expense (% of…)
Revenue 2% 4% 3% 8% 7% 3%
Cost of Energy 3% 5% 3% 11% 8% 4%
Net Energy Revenue 15% 20% 16% 36% 61% 9%
Net Income 30% 43% 43% 97% 364% 19%
Gross Margin 16% 22% 17% 23% 12% 32%
Net Margin 13% 15% 12% 12% 3% 27%
Agenda Page 44
Agenda Page 45
12 Staffing – What’s Next
13 Outlook to ExCom for over past two years
More Programs = More staff
Marketing/Communications staffing depends on strategic decisions on insourcing Policy (Government Affairs) will need one more position Procurement/Finance/Data will all need at least one more position Depending on evolving in-office vs. remote mix, may need space expansion in 18-24 months Outlook for beyond 2023/24
More programs = More staff
Market and technology conditions plus regulatory creep can be a significant driver for several divisions (data, procurement, regulatory, finance)
Additional communities will require growth in customer care/community engagement Agenda Page 46
Increases to opex costs for areas other than staffing and customer programs will be nominal
Increased spending on customer programs and staffing drives rise in operating expenses
Expanding customer programs and local assistance is an organizational priority while consolidating the benefits of staffing progress is dependent on continuing to invest in staff retention and talent acquisition.
Accounting for past year staffing and turnover improvement plus continuing to invest in retention/development is 75% of proposed staffing increase; new positions is remaining 25%
CPA continues to compare favorably with other CCAs on opex and staffing CPA has limited ability to impact rates in the short term through adjustments to budgeted energy or operating expenses but can increase impact and reduce risk through these investments.
14 Summary
Agenda Page 47
Questions?
Agenda Page 48
Staff Report – Agenda Item 7
To: Executive Committee
From: Lindsay Saxby, Vice President, Power Supply
Matt Langer, Chief Operating Officer
Approved by: Ted Bardacke, Chief Executive Officer
Subject: Expanding Energy Procurement Options
Date: April 19, 2023
RECOMMENDATION
Provide feedback on the item.
ATTACHMENT
1. Presentation on Expanding Energy Procurement Options Agenda Page 49
Item 7 - Expanding
Procurement Options
April 19, 2023
Agenda Page 50
Executive Summary
Current market conditions for renewable energy and Resource Adequacy (RA) are constrained and expected to be so for the next several years
While CPA is on track to meet or exceed its long-term contracting requirements under the Renewable Portfolio Standard (RPS) and the Mid-Term Reliability (MTR) order, supply shortages mean that short-term procurement will be challenging In its next Clean Energy RFO, scheduled for release in early June, CPA will be seeking to fill a larger portion of its portfolio needs with long-term contracts To prepare for this next Clean Energy RFO, staff is seeking initial feedback on a number of additional procurement options to access a greater number of supply opportunities in a seller’s market
Agenda Page 51
2 Agenda
Medium and Long-Term
Compliance Status
Short-term Procurement
Challenges
Ideas and Considerations
Agenda Page 52
3 Compliance
Status
Agenda Page 53
4 Long-Term Renewables and Mid-Term
Reliability Compliance
Assuming resources contracted for in existing PPAs come online as expected, CPA will meet its existing mid-term reliability and long-term renewable energy compliance requirements for much of the rest of this decade
This includes the following:
• Renewable Energy through 2030
• New capacity through 2026
• Baseload renewables (geothermal and biomass) through 2028* • Long duration storage through 2028
*Assumes CPA executes a 11.5 MW biomass power purchase agreement that has entered into an exclusivity agreement with CPA.
Agenda Page 54
5 Short-term
Procurement
Challanges
Agenda Page 55
6 Short-Term Procurement
and Compliance
• Despite ongoing outreach to RA and
RPS suppliers, achieving short-term
targets remains a concern
• Historically, ample supply of
renewable energy and RA were
available at generally stable prices
• Today, meeting CPA’s needs is much
more challenging
Agenda Page 56
7 Renewable Energy Pricing and Availability
REC pricing has increased, in part, due to the
following:
o Supply chain and interconnection delays
have caused renewable resources that
were expected to be online in 2023 and
2024 to be delayed
o RPS programs have been established in
neighboring states (OR, WA) increasing
out-of-state competition for renewable
energy and decreasing imports into the
state
o CCA growth, corporate buyers, and higher
RPS targets have also contributed to
increased demand for renewable energy
*Market Price Benchmark published by the CPUC based on market transactions for that year **Based on recent broker quotes for short-term PCC1 renewable energy Agenda Page 57
8 Resource Adequacy Pricing and Availability
RA availability is scarce in 2023 and 2024 and likely
beyond. Issues include
o Higher RA requirements due to the impacts of
extreme weather and climate change
o Issues delaying construction of new resources
including supply chain challenges, permitting, and
interconnection
o Retirements of existing generating units
o New restrictive import rules
o Changes in RA counting rules that reduce available
supply
This shortfall of capacity is leading to extremely high prices and puts our ability to procure our full RA requirements in jeopardy in the near-term
Year
Annual Average RA
Price ($/kw-mo)
Sept Average RA
Price ($/kw-mo)
2019 $3.46 $4.08
2020 $4.97 $6.10
2021 $5.89 $16.00
2022 $9.35 $40.00
2023 $16.08 $55.00
2024 $18.00 $60.00
Annual RA Prices
Agenda Page 58
9 Competition for New Resources
The MTR requirements for new capacity
have increased competition amongst
buyers, shifting new resource
procurement from a buyer’s to a seller’s
market
This has led to fewer offers submitted in
CPA’s long-term RFO’s in recent years
Staff is seeking ways to attract a
competitive pool of offers to the Clean
Energy RFO so CPA can add a significant
amount of long-term resources to the
portfolio and reduce dependence on the
volatile short-term markets
Long-Term RFO Offers Received Annually
Agenda Page 59
10 Ideas and
Considerations
Agenda Page 60
11 Ideas for Attracting More Offers in the
2023 Clean Energy RFO
CPA is exploring procurement options to attract more offers in its upcoming Clean Energy RFO such as:
o More Flexible Contract Duration: Historically, CPA has requested conforming offers with 15- year duration (“term”) but is considering allowing counterparties to bid terms anywhere from 10 to 20 years
o Package Deals: CPA may allow for inclusive offers so bidders may bid a portfolio of resources at a lower price relative to individual offers for each resource o RA-only: Historically, CPA has only allowed long-term resources to bid both energy and RA but may consider long-term RA-only offers to attract more offers o RA with Natural Gas Energy: Consider requesting offers for natural gas energy bundled with RA as a means to access RA from existing facilities that might otherwise not bid to CPA Additionally, staff is beginning research on the potential to join CC Power, a JPA of CCAs set up to do joint procurement – this topic will be subject of future discussions if necessary Agenda Page 61
12 Agreements for Natural Gas Energy and RA
Procurement of natural gas bundled with RA, known as tolling agreements (tolls), can:
o Attract bidders that have not previously participated in CPA’s RFO’s and generate more offers for RA
o Provide energy to the grid during critical heat events and help CPA hedge its exposure to market price spikes. Depending on the type of facility, these facilities may only be used for a few days or hours each month o Pair the resource with new technologies such as energy storage or green hydrogen to reduce emissions and be a catalyst for transitioning those resources to a cleaner profile; these may be the most attractive type of tolls for CPA from a mission perspective.
Agenda Page 62
13 Power Content Label/GHG Implications
Unspecified Power is generic system power that CPA purchases to meet the balance of customers needs that is not met by specified sources (typically renewables and large hydro)
CPA currently shows significant amounts of Unspecified Power on the Power Content Label (PCL) in the Lean and Clean Power products Natural gas energy purchases would displace Unspecified Power on the PCL, but the emissions impact is unit specific, and may be better or worse than Unspecified Power
o Unit specific emissions along with location, new low-carbon technology deployment and other factors would be key evaluation criterion in any evaluation of a natural gas toll
Agenda Page 63
14 Conclusion and Next Steps
Staff is seeking the Executive Committee's feedback on soliciting for natural gas resources in the 2023 Clean Energy RFO
o Any long-term agreement with a natural gas resource would go through the standard Board and Committee review process
Staff is in the process of preparing the solicitation materials for the 2023 Clean Energy RFO and will present RFO plan to the Energy Committee in May for launch in June
Agenda Page 64
15 Questions and
Discussion
Agenda Page 65
16