MINUTES
Finance Committee
of the Clean Power Alliance of Southern California
Regular Meeting
Wednesday, May 27, 2026
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
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
Rolling Hills Estates City Hall
Conference Room
4045 Palos Verdes Drive North
Rolling Hills Estates, CA 90274
Thousand Oaks City Hall
City Manager’s Office, Council Office #1
2100 Thousand Oaks Blvd.
Thousand Oaks, CA 91362
CALL TO ORDER & ROLL CALL
Chair Santangelo called the meeting to order at 11:02 a.m. and Annie Mendoza, Deputy Clerk of the Board, conducted roll call.
ROLL CALL
Camarillo Susan Santangelo Committee Chair Remote
Calabasas Ed Albrecht Committee Member Remote
Carson Reata Kulcsar Committee Member Absent
Claremont Corey Calaycay Committee Member Remote
Rolling Hills Estates Steve Zuckerman Committee Member Remote Santa Monica Pam O’Connor Committee Member Present
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 22, 2026, Finance Committee Meeting
2. Approve the Selection of Baker Tilly to Continue as the Independent Financial Auditor for CPA’s Fiscal Year 2025-26 Financial Statements
3. Receive and File April 2026 Risk Management Team Report
4. Receive and File April 2026 Investment Report
5. Receive and File Fiscal Year 2025-26 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
6. Oral Report from the Chief Financial Officer
David McNeil, Chief Financial Officer, thanked Chair Santangelo for her ability to summarize the Committee’s agenda items and votes when making reports to the full Board. He remarked that her summaries highlight the Committee's important work and inform the Board. Mr. McNeil referred to the third quarter financial reporting, noting that CPA is tracking $75 million ahead of budget despite the rate decrease in February. Benign energy market conditions are contributing to that financial stability, as is mild weather. He cautioned that benign periods are often followed by turbulent ones and reminded the Committee that an El Niño event is anticipated, which may lead to hotter weather. He closed his report informing the Committee that Chandler Asset Management is now fully onboard and will start making investments according to CPA’s revised Investment Policy. Staff will be monitoring the July investment report for progress.
7. Recommend Approval of the Budget Policy and Proposed Fiscal Year 2026-27 and Fiscal Year 2027-28 Budgets to the Board of Directors at its June 4, 2026, Meeting
Jennifer Stevenson, Financial Planning and Analysis Manager, presented details about the proposed two-year Budget Policy, including authorization for the CEO and CFO to make limited operating expense budget transfers, transfer controls and limitations, and procedures for the annual rate setting process for year two of the budget. She also explained the Fiscal Year 2026-2027 and Fiscal Year 2027- 2028 proposed budgets, highlighting revenues, energy costs, operating expenses, and impacts to the net position and reserves. She emphasized that CPA financial metrics continue to compare favorably with peer CCAs and are consistent with CPA’s “A” credit rating and bank credit covenants. Staff’s recommendation is for the Committee to recommend approval of the proposed budget policy and budgets as presented to the Board.
Committee Member Zuckerman asked about the $130 million increase in investments listed on page 15 of the agenda report, and staff clarified that those funds are in U.S. Treasury bonds. Committee Member Albrecht complimented the finance staff for the financial position, budget, investments, and reserves being in proportion, and expressed hope that the summer weather would cooperate. He also asked whether the Committee could review Chandler’s investments, and staff responded that the monthly investment report would provide the information and that the first set of investments would be completed by the end of June. Mr. McNeil said staff can give Committee members a preview of investments made by Chandler, some of which will be securities and products CPA has not previously invested in.
Motion: Committee Member Calaycay, Claremont
Second: Committee Member Zuckerman, Rolling Hills Estates Vote: This item was approved by a roll call vote
COMMITTEE MEMBER COMMENTS
Committee Member O’Connor thanked CPA staff for having an exhibitor’s booth at the recent Southern California Association of Governments (SCAG) regional conference.
Committee Member Calaycay echoed Mr. McNeil’s praise of Chair Santangelo’s monthly summaries presented to the Board; he also expressed appreciation for the finance expertise of Committee Members Albrecht, Zuckerman, and Newman, who have taught him a lot during his service on the Committee. He also reported that he is now serving on SCE’s government affairs panel. He said he raised the issue of SCE’s handling of collections when accounts are in arrears, and he informed the Committee that he’s willing to bring other issues to the panel for the benefit of CPA. Ted Bardacke, Chief Executive Officer, thanked Committee Member Calaycay for the offer and said that CPA appreciates every pathway of communication with SCE.
Committee Member Zuckerman asked if staff knows for certain that SCE will lower rates next year, and staff responded that SCE’s rates are likely to be reduced and the PCIA likely to go up in January. Staff is waiting for SCE to file its estimates shortly, and they will also be monitoring summer weather and its impacts on energy prices. Mr. Bardacke stated that the budget projections presented earlier in the meeting assume no rate change in the first quarter of 2027, and that it’s possible CPA’s rates may have to be adjusted to stay competitive with SCE. Mr. McNeil added that in June of last year, the Committee recommended an amendment to the energy risk management policy, which reduced the minimum hedge percentage. The result is that CPA would take a financial hit during a negative event, but such an event would likely also put downward pressure on the PCIA and upward pressure on SCE generation rates, which would improve CPA’s rate competitiveness with SCE.
Mr. McNeil thanked the Committee for making recommendations to the Board throughout the fiscal year. Chair Santangelo acknowledged his thanks and complimented staff for their work bringing all those items for Committee consideration.
ADJOURN
Chair Santangelo adjourned the meeting at 11:41 a.m.