MINUTES
Legislative & Regulatory Committee
of the Clean Power Alliance of Southern California
Regular Meeting
Wednesday, June 25, 2025, 10:00 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:
Carson City Hall
Executive Conference Room
701 East Carson Street
Carson, CA 90745
Clean Power Alliance Office
Executive Conference Room
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
LA County Hall of Administration
Sybil Brand Conference Room, Room 372
500 West Temple Street
Los Angeles, CA 90012
West Hollywood City Hall
3rd Floor City Manager’s Conference Room
8300 Santa Monica Blvd.
West Hollywood, CA 90069
CALL TO ORDER & ROLL CALL
Chair Hicks called the meeting to order at 10:11 a.m. and Gabby Monzon, Clerk of the Board, conducted roll call.
ROLL CALL
Carson Cedric Hicks Committee Chair Remote
Los Angeles
County Lindsay Horvath Vice Chair Remote
Santa Monica Absent
West Hollywood John Erickson 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 March 26, 2025, Legislative Committee Meeting Motion: Committee Member Erickson, West Hollywood
Second: Committee Member Horvath, Los Angeles County
Vote: The consent agenda was approved by a roll call vote.
REGULAR AGENDA
2. Receive a Presentation on the Power Charge Indifference Adjustment Reform Proceeding
CC Song, Senior Director, Regulatory Affairs, presented background information about the PCIA and Energy Resource Recovery Account (ERRA). The PCIA recovers costs from customers that depart from an IOU to join a CCA by charging them the net costs of generation contracts procured on their behalf by the IOU while they were bundled customers. The PCIA can be positive or negative in any one year. ERRA is the CPUC proceeding in which the PCIA is determined.
Part of the PCIA calculation is the 2025 RA Market Price Benchmarks (MPBs).
The MPBs were much higher than in past years, which depressed the PCIA. SCE proposed a different calculation of MPBs in the ERRA proceeding. This change along with a dispute with SCE over the categorization of Local RA were decided by the CPUC in the ERRA proceeding. The CPUC sided with SCE, thus increasing the PCIA for CPA customers. The CPUC stated that it would consider broader PCIA issues in 2025. It issued the PCIA and ERRA Reform proceeding in February 2025. Track 1 adopts changes to RA MPBs on an expedited basis for implementation by October 2025, and Track 2 changes to the PCIA framework are on a longer timeline, completed by 2028.
Ms. Song noted that the main issue in dispute in the PCIA and ERRA Reform proceeding was whether the MPB should continue to be set based on 2 years of data versus all available data, currently five years. The IOUs supported using all data; CalCCA supported MPBs based on recent market data, not old transactions under different market circumstances. Alternatively, CalCCA supported a compromise of using 3 years of data. The PD adopted a 4-year standard and maintained the principle that MPBs should be based on timely market transactions rather than all recorded transactions.
The PD is slated to be voted on June 26, 2025. CalCCA Preliminary analysis indicates that competitive margins across all IOU territories will decrease. CPA staff will analyze the impact on CPA’s competitiveness with SCE when data is available and develop positions on Track 2 once the scope ruling has been issued, which is currently expected in Q4 2025. The PCIA issue may come to the Board in October.
In response to Chair Hicks’ question regarding the impact of the January wildfires, staff clarified that it will not cause direct changes in the PCIA. Committee Member Horvath asked about ongoing advocacy at the CPUC, and staff noted that the current decision cannot be influenced but for the next phase, staff will monitor and schedule ex parte meetings as needed. Committee Member Horvath suggested CPA staff continue exploring opportunities related to distributed energy investments.
3. Oral Update on 2025 Legislative Activities and Seek Committee Guidance on Priorities for the Rest of the Legislative Session
Gina Goodhill, Senior Director, Government Affairs, provided legislative updates on affordability measures, Self-Generation Incentive Program (SGIP) advocacy, and an update on AB 306. Ms. Goodhill discussed AB 825 and SB 254, which propose large scale changes to the traditional utility model. CPA is tracking two AB 825 proposals - one that would create a Public Transmission Financing Fund and another that would create a Statewide Demand Side Management Program Review Task Force. Although the bill includes language that preserves CCA autonomy, CPA and CalCCA are concerned that the task force could enable increased CPUC oversight of CCA programs. Chair Hicks urged continued efforts to prevent an additional regulatory layer on CPA operations.
On SGIP, Ms. Goodhill noted that despite engagement efforts, the CPUC has yet to approve any CCA programs, while IOU DR programs received automatic approval. CPA and other CCAs have urged legislative action on the issue and request that the Board Chair and Committee Members send a letter to the CPUC requesting immediate approval of CPA programs.
Regarding AB 306, Ms. Goodhill explained the bill would impose a moratorium on adopting new or modified residential building codes, with limited exceptions. CPA has advocated for amendments limiting the moratorium to new construction and allowing local governments 180 days to adopt and update their codes. CPA, Los Angeles County, Santa Monica, West Hollywood and Ventura have taken official Oppose Unless Amended positions. The AB 306 bill language was incorporated into AB 130, the Housing Budget Trailer Bill, and is expected to pass. Staff will assist member agencies in meeting deadlines.
Regarding AB 825, Committee Member Horvath acknowledged CPA’s dedication to affordability and expressed support for CalCCA’s legislative efforts. In response to her questions, staff clarified that the proposed task force would review all IOU/CCA energy efficiency and DR programs; CPA can adopt an Oppose Unless Amended or Support if Amended position. Another option is for CPA to take a position as an individual entity. Ms. Goodhill noted that CPA supports the remainder of the affordability measures.
The Committee expressed support for sending a letter to the CPUC regarding SGIP.
In response to the AB 306 report, Chair Hicks asked about next steps following the bill’s adoption. Staff noted they are working with member agencies participating in CPA’s Reach Code Program. Committee Member Horvath suggested linking the issue to fire rebuilding and resiliency efforts and engaging allies to emphasize fire safety. Ms. Goodhill added that many communities affected by the January wildfires opposed the bill. Chair Hicks requested an information sheet for Reach Code participants and other interested member agencies.
COMMITTEE MEMBER COMMENTS
None.
ADJOURN
Chair Hicks adjourned the meeting at 10:56 a.m.