MINUTES
Board of Directors of the
Clean Power Alliance of Southern California
Regular Meeting
Thursday, February 1, 2024, 2:00 p.m.
Meeting videos are available on CPA's YouTube Channel.
http://www.youtube.com/@CPApublicmeetings
Board members participated from the following locations:
Calabasas City Hall
Council Conference Room
100 Civic Center Way
Calabasas, CA 91301
Clean Power Alliance
Diana Mahmud Board Room
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
Whittier City Hall
Admin Conference Room
13230 Penn Street
Whittier, CA 90602
Ventura County Government Center
Channel Islands Conference Room, 4th Floor
Hall of Administration
800 South Victoria Avenue
Venture, CA 93009
South Bay Cities Council of Governments
Conference Room
2355 Crenshaw Blvd., Suite 125
Torrance, CA 90501
Danforth Plant Science Center
975 N. Warson Road
Olivette, MO 63132
CALL TO ORDER & ROLL CALL
Chair Gold called the meeting to order at 2:00 p.m. and Gabriela Monzon, Clerk of the Board, conducted roll call.
PLEDGE OF ALLEGIANCE
Director McMorrin led the pledge of allegiance.
Roll Call
1 Agoura Hills Deborah Klein Lopez Director Remote
2 Alhambra Jeff Maloney Director Present
3 Arcadia Michael Cao Director Present
4 Beverly Hills Julian Gold Chair Present
5 Calabasas Ed Albrecht Alternate Remote
6 Camarillo Susan Santangelo Director Remote
7 Carson Reata Kulcsar Alternate Present
8 Claremont Corey Calaycay Director Present
9 Culver City Yasmine Imani McMorrin Director Present
10 Downey Horacio Ortiz Director Remote
11 Hawaiian Gardens Absent
12 Hawthorne Alex Monteiro Director Remote
13 Hermosa Beach Doug Krauss Alternate Remote
14 Los Angeles County Lindsey Horvath Vice Chair Present 15 Malibu Marianne Riggins Director Remote
16 Manhattan Beach Amy Howorth Director Remote
17 Monrovia Dylan Feik Alternate Remote
18 Moorpark Renee Delgado Director Remote
19 Ojai Betsy Stix Director Remote
20 Oxnard Bert Perello Director Remote
21 Paramount Absent
22 Redondo Beach Paige Kaluderovic Director Remote
23 Rolling Hills Estates Steve Zuckerman Alternate Remote 24 Santa Monica Gleam Davis Director Present
25 Santa Paula Jenny Crosswhite Director Remote
26 Sierra Madre Robert Parkhurst Director Remote
27 Simi Valley Rocky Rhodes Director Present
28 South Pasadena Jon Primuth Director Present
29 Temple City Absent
30 Thousand Oaks David Newman Director Remote
31 City of Ventura Liz Campos Director Remote
32 Ventura County Vianey Lopez Vice Chair Remote
33 West Hollywood John Erickson Director Present
34 Westlake Village Absent
35 Whittier Leon Vasquez Alternate Remote
All votes are unanimous unless otherwise stated.
GENERAL PUBLIC COMMENT
There was no public comment.
CONSENT AGENDA
1. Approve Minutes from the December 7, 2023 Board of Directors Meeting
2. Authorize the Chief Executive Officer to Execute a new Professional Services Agreement with Energy Exemplar LLC for Production Cost Modeling Software and Related Services for an Initial One-Year Term and Up to a Three-Year Term for a total Not-To-Exceed Contract Value of $808,007
3. Approve and Authorize the Chief Executive Officer to Execute an Amendment to the Agreement with AutoGrid, Updating the Services for the Power Response Program as well as the Budget for the 3 Remaining One-Year Renewal Terms with a total Not-to-Exceed Amount of $3,266,935 for those Remaining Three Years
4. (A) Approve Amendment to CPA’s Investment Policy to Permit Investment in the California Asset Management Program (CAMP); and, (B) Authorize the Chief Executive Officer to Execute the CAMP Investor Agreement and Any Related Documents Required to Invest in CAMP as an Investor
5. Receive and File Bill Positions February 2024 Monthly Report
6. Receive and File Monthly Community Advisory Committee Report Motion: Vice Chair Horvath, Los Angeles County
Second: Director Parkhurst, Sierra Madre
Vote: The consent agenda was approved by roll call vote with an abstention from Director Zuckerman, Rolling Hills Estates.
REGULAR AGENDA
7. Approve the Power Ready Power Purchase Agreement General Conditions and the Eleven Power Purchase Agreement Special Conditions (PPA) with Coast Energy to Provide Energy-Resilient Systems at Eleven CPA Member Agency Sites Under the Power Ready Program and Authorize the Chief Executive Officer to Execute the Agreements
Matt Langer, Chief Operating Officer, presented the item. Mr. Langer described the program and reviewed the RFO process. The project developer is Coast Energy and the contract term is 20 years. The program provides participating member agencies the opportunity to host a behind-the-meter battery storage project, benefitting from a minimum of 4 hours of islanded backup power during outages. CPA can use the battery daily to reduce power use during peak times of day. Mr. Langer described the site selection process. Of 100 sites evaluated, 26 were deemed good candidates. Coast Energy was shortlisted for its high scores for developer experience, workforce development, and commitment to bring systems online within 18 months of PPA execution.
Director Rhodes asked about battery drainage; Mr. Langer explained that Power Ready is unique in that the batteries are oversized and there’s always a portion for daily use and a portion held in reserve for backup power. In response to Director Zuckerman’s question about price fluctuation in response to the market, Mr. Langer clarified that the PPA has a flat price over the span of the agreement, so there would be no escalation in price. Director Feik inquired if financial terms for the 20-year leases are the same for all cities; Mr. Langer clarified that there is a standard lease that has been developed in consultation with participating member agencies but that additional terms can be negotiated between the developer and participating member agencies. Chair Gold asked about the megawatt values; Mr. Langer noted the battery storage is larger because of oversizing. Chair Gold suggested that staff provide the Board with status reports of the project as the 18-month timeline begins.
Motion: Director Erickson, West Hollywood
Second: Director Calaycay, Claremont
Vote: Item 7 was approved by a roll call vote.
8. Approve and authorize the Chief Executive Officer to execute the following long term Energy Storage Agreements: A. 20-Year Energy Storage Agreement with ESCA-PLD-CPA1, LLC (Prologis Energy) for the 300 MW Drifter project; B. 15- Year Energy Storage Agreement with Ranger Energy Storage, LLC (esVolta) for the 60 MW Ranger project
Ted Bardacke, Chief Executive Officer, announced that Option B listed on the item recommendation has been pulled due to potential operating restrictions.
John McNamara, Director of Structured Contracts, presented the item. The goals of the Clean Energy and Reliability RFO are to procure long-term contracts to secure resource adequacy (RA), avoid volatility of short-term markets, and achieve a procurement target of 1.3 million MWh of energy and 400 MWh of RA.
Staff established an overall procurement target of 3.25 million megawatt hours and 1,200 megawatt hours of RA. The Energy Committee approved the RFO shortlist of 10 projects and a waitlist of 17 projects. The Drifter project offers 300 MW storage for a 20-year term with 1,200 MWh. Drifter ranked high in workforce development and project location during evaluation. CPA has other contracts with the developer, Prologis. While the project has not received Full Capacity Deliverability Status (FCDS), such projects are more competitive and a PPA with a load serving entities like CPA improves their chances of receiving FCDS. The contract could be cancelled without penalty if FCDS is not received.
Energy Committee Chair Parkhurst added that the Energy Committee reviewed the project and agreed that it will help CPA meet procurement goals. In response to a question regarding compounded risks from Director Perello, Mr. Bardacke responded there’s always a risk of project failure; while Drifter still needs to go through the permitting process with City of Moorpark and needs CEQA determination, it does offer a near term online date.
Motion: Director Erickson, West Hollywood
Second: Director Calaycay, Claremont
Vote: Item 8 (Option A) was approved by a roll call vote with one recusal from Renee Delgado, Moorpark.
9. Receive Quarterly Communications Report and 2024 Look Ahead Presentation Cara Rene, Director of Communications and Marketing, stated that CPA is ranked the No. 1 green power provider in the country. CPA has conducted outreach to support the enrollment of three new cities at 100% Green Power, developed CPA’s first-ever Power Share recruitment video, launched marketing and outreach for new programs, and is preparing to participate in its’ first federal Lobby Day. Engagement activities include supporting new cities; connecting with city managers; and launching commercial customer research. Staff plans to sharpen communication in media-saturated communities in order to develop CPA’s identity, talent recruitment, building understanding of clean power, and creating customer loyalty and trust in the brand. Ms. Rene thanked Board members for their outreach efforts.
Vice Chair Horvath suggested Spectrum as a media outlet and offered to work with CPA staff. Director Erickson suggested that cities and Board members can also serve as outlets for outreach and asked about interaction with City Managers. Mr. Bardacke explained that CPA hosts City Manager meetings and focus on program participation. Ms. Rene added that CPA staff interacts with public information officers, but staff plan to elevate outreach this year, specifically with shareable content. In response to Director Crosswhite’s question about the Autogrid services and outreach, Mr. Langer noted that Autogrid develops relationships with different trade allies to provide the best brands; the Board approved more funding to allow Autogrid to continue its outreach efforts. In response to Director Parkhurst’s question about brand awareness metrics, Ms.
Rene explained that CPA surveys have shown more improvement in Ventura County than in Los Angeles County. Director Monteiro noted that Hawthorne has a community channel available for content and PSAs to inform residents; asked about the involvement of Public Works Directors in addition to City Managers.
Staff explained that CPA does usually work with public works staff; City Manager meetings focus on more holistic discussions about the organization. Director Perello requested clarification on why some smart thermostat vendors may not work with CPA; Mr. Bardacke explained that some vendors prefer to monetize customer relationships without working with third-parties. CPA works with two of the most recognizable smart thermostat brands, Nest and Ecobee.
10. Open Nomination Period for Board Chair for Q2 2024 and July 2024 – June 2026 Terms
Chair Gold opened the nomination period and called for nominations.
Nominations will be accepted until February 16, 2024. The election will take place at the next Board meeting on March 7, 2024.
Vice Chair Horvath nominated Director Deborah Klein Lopez, from Agoura Hills.
In response to Director Perello’s question about the election, Chair Gold clarified that the election process is permitted under the bylaws.
COMMITTEE CHAIR UPDATES
Director Klein Lopez, Chair, Legislative & Regulatory Committee, did not provide a report but noted that CPA is preparing for its Lobby Day on February 21, 2024.
Director Santangelo, Chair, Finance Committee, reported that the Committee discussed the credit agreement with JP Morgan and agreed that it would provide better terms to CPA. The Committee also reviewed investing in the California Asset Management Program (CAMP) and recommended approval to the Board.
Director Parkhurst, Energy Planning & Resources Committee, reported that the Committee discussed upcoming RFOs and ongoing negotiations. The Committee will be busy with the Integrated Resource Plan mid-year.
MANAGEMENT REPORT
Mr. Bardacke reported that staff will discuss proposed income-graduated fixed charges during Lobby Day; Members of the Legislative & Regulatory Committee also plan to participate and meet with legislators. Later this month, CPA will launch the battery storage incentive program. Mr. Bardacke noted that invitations went out to Regular Directors for the annual California Community Choice Association meeting in mid-April and that they can send Alternate Directors on their behalf if they wish.
BOARD MEMBER COMMENTS
Vice Chair Horvath acknowledged the communities in unincorporated Los Angeles County and her district that have contributed to the progress of the Power Ready program; praised CPA’s progress in building infrastructure and leading the industry.
Director Erickson expressed gratitude for Chair Gold’s service to the organization.
Director Perello also thanked Chair Gold for his service; shared some concern regarding the nomination process for Board Chair; and discussed funding from Congressmembers Brownley and Carbajal for electric vehicle chargers. Chair Gold commented that the nomination process for the Chair is open through February 16th and Directors may submit their nominations.
REPORT FROM THE CHAIR
Chair Gold observed an increased interest in green energy at the U.S. Conference of Mayors and suggested that CPA needs to increase its profile at a national level. The discussion illustrated a general belief that the electricity grid will not support more green energy and some uncertainty about how that will be fixed. Chair Gold suggested that although this is a federal matter, CPA leadership can demonstrate that it can be done, and thereby encourage action at the federal level to address the challenge.
ADJOURN
Chair Gold adjourned the meeting at 3:41 p.m.