MINUTES
Finance Committee
of the Clean Power Alliance of Southern California
Regular Meeting
Wednesday, May 28, 2025, 11:00 a.m.
Meeting videos are available on CPA's YouTube Channel.
http://www.youtube.com/@CPApublicmeetings
Committee Members participated in this meeting from the following locations:
Camarillo City Hall
Administrative Conference Room
601 Carmen Drive
Camarillo, CA 93010
Clean Power Alliance Office
Executive Conference Room
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
Calabasas City Hall
Council Conference Room
100 Civic Center Way
Calabasas, CA 91302
Claremont City Hall
Council Office
207 Harvard Avenue
Claremont, CA 91711
Carson City Hall
City Manager’s Conference Room
701 East Carson Street
Carson, CA 90745
Thousand Oaks City Hall
City Manager’s Office, Council Office #1
2100 Thousand Oaks Blvd.
Thousand Oaks, CA 91362
Rolling Hills Estates City Hall
Conference Room
4045 Palos Verdes Drive North
Rolling Hills Estates, CA 90274
CALL TO ORDER & ROLL CALL
Chair Santangelo called the meeting to order at 11:00 a.m. and Annie Mendoza, Deputy Board Clerk, conducted roll call.
ROLL CALL
Camarillo Susan Santangelo Committee Chair Remote
Calabasas Ed Albrecht Committee Member Remote
Carson Reata Kulcsar Committee Member Remote
Claremont Corey Calaycay Committee Member Remote
Rolling Hills
Estates
Steve Zuckerman Committee Member Remote
Santa Monica Absent
Thousand Oaks David Newman Committee Member Remote
All votes are unanimous, unless otherwise stated.
GENERAL PUBLIC COMMENT
There was no public comment.
CONSENT AGENDA
1. Approve Minutes from the April 23, 2025, Finance Committee Meeting
2. Receive and File April 2025 Risk Management Team Reports
3. Receive and File April 2025 Investment Reports
4. Receive and File FY 2024/2025 Q3 Financial Report
Motion: Committee Member Albrecht, Calabasas
Second: Committee Member Calaycay, Claremont
Vote: The consent agenda was approved by a roll call vote
REGULAR AGENDA
5. Report from the Chief Financial Officer
David McNeil, Chief Financial Officer, reported a financially solid quarter, with March seeing a $10 million increase in the net position. Overall, CPA is $77.9 million ahead of budget. The fourth quarter will see an increase in reserves because of higher summer rates.
Committee Member Albrecht suggested that the financial reports include an asterisk or other marker to identify delayed invoicing by CPA suppliers.
6. Approve the Selection of Baker Tilly as the Auditor for CPA’s Fiscal Year 2024/2025 Financial Statements, and Authorize CPA Staff to Enter Contract Negotiations for Financial Audit Services with Baker Tilly Mr. McNeil described staff’s recommendation to hire Baker Tilly to audit the current fiscal year's financial statements. Mr. McNeil presented Baker Tilly’s qualifications and knowledge of California energy markets, noting that they were the lowest-cost option.
Committee Member Kulcsar expressed appreciation that staff sought proposals from a wide range of auditors and indicated her support for staff’s recommendation. Staff confirmed for Chair Santangelo that a new lead audit partner would assume responsibility for the audit.
Motion: Committee Member Calaycay, Claremont
Second: Committee Member Newman, Thousand Oaks
Vote: Item 6 was approved by a roll call vote.
7. Recommend Approval of the Proposed Fiscal Year 2025/2026 Budget to the Board of Directors at its June 5, 2025, Meeting
Jennifer Stevenson, Financial Planning and Analysis Manager, presented an overview of the proposed budget, which includes 13% lower energy costs, 51% lower contribution to reserves, 180% higher interest income, 14% higher operating expenses, and 17% lower revenues.
The budgeted increase in net position is anticipated to achieve CPA’s Reserve Policy target of 50% by June 30, 2026, with a days’ liquidity on hand level of 189 days.
Committee Member Newman suggested that the reduction in revenue be framed in a way that the public would understand that the Board made an informed decision about the rate approach and that the reduction is not a problem. Staff acknowledged Committee Member Kulcsar’s comment that unspent monies in programs could be carried over to the following year’s budget.
Motion: Committee Member Newman, Thousand Oaks
Second: Committee Member Calaycay, Claremont
Vote: Item 7 was approved by a roll call vote
COMMITTEE MEMBER COMMENTS
Committee Member Albrecht thanked staff for their work on the budget. Committee Member Zuckerman inquired about collections related to accounts in arrears, and staff responded that CPA would have a plan in place for the next fiscal year. The task is to obtain accurate data from SCE on what customers owe before sending the accounts to a collection agency.
ADJOURN
Chair Santangelo adjourned the meeting at 11:39 a.m.