AGENDA
ORANGE COUNTY POWER AUTHORITY
MEETING OF THE BOARD OF DIRECTORS
Wednesday, September 13, 2023
10:00 a.m.
This meeting will proceed as an in-person meeting at the Travelers Building, 3333 Michelson Dr., Irvine, CA 92612 in the Palm Room. In addition, as a convenience to the public, the Orange County Power Authority is also providing an option for members of the public to remotely view and participate in the meeting. Further details are below. Please note that, in the event of a technical issue causing a disruption in the remote participation option, the meeting may continue unless otherwise required by law.
Public Comments: Any member of the public may provide comments to the Orange County Power Authority Board of Directors on any agenda items (including closed session items) by requesting to speak during Item 4, or on any matter not appearing on the agenda but within the jurisdiction of the Board by requesting to speak during Item 5. When providing comments to the Board, it is requested that you provide your name and city of residence for the record. Commenters are requested to address their comments to the Board as a whole through the Chair. Comments may be provided in the following manner:
To provide comments during the meeting, in-person attendees, please fill out the public speaker slip and provide it to the clerk at the beginning of the meeting. Before Items 4 and 5, the Chair or Clerk will ask members of the public to join the queue to provide public comment. The queue will remain open for a reasonable amount of time to allow members of the public sufficient time to request to speak and inform the Board of the number of speakers. After such time, the queue will be closed and the members of the public who have joined the queue to speak will be recognized at the appropriate time may speak. To join the queue on Zoom video conference by computer or mobile phone, use the “Raise Hand” feature. If joining the meeting using the Zoom dial-in number, you can raise your hand and join the queue by pressing *9. Members of the public will not be shown on video but will be able to speak when called upon.
Comments shall generally be limited to three minutes when speaking, provided that the Chair may equally reduce each speaker’s time to accommodate a large number of speakers or a large number of agenda items.
Written Communications: If you have a written communication that you wish to be distributed to the Board, please provide it via e-mail to [email protected]. Written communications are public records and, if received by 5:00 p.m. on the day prior to the meeting, will be distributed to the Board prior to the meeting by either e-mail or hard-copy, posted on the Authority’s website and noted, but not read, at the meeting. Communications received after the 5:00 p.m. deadline will be retained in the Authority’s records.
The public may participate using the following remote options:
ZOOM WEBINAR
Please click the link below to join the webinar:
Launch Meeting - Zoom
Dial-in: 1-669-900-6833
Webinar ID: 841 6540 2229
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
4. PUBLIC COMMENTS ON AGENDA ITEMS
Opportunity for members of the public to address the Board on any items on the agenda.
5. PUBLIC COMMENTS ON NON-AGENDA ITEMS
Opportunity for members of the public to address the Board on any items not on the agenda but within the jurisdiction of the Board.
6. DIRECTOR ANNOUNCEMENTS & REPORTS ON CONFERENCES/EVENTS
ATTENDED
Board Members may briefly provide information to other members of the Board and the public, ask questions of staff, or report on conferences, events, or activities related to Authority business. There is to be no discussion or action taken on comments made by Board Members unless authorized by law.
7. PRESENTATION
BRIGHT FUTURES GRANT AWARDEES
8. CLOSED SESSION
1. PUBLIC EMPLOYEE APPOINTMENT
Pursuant to Government Code Section § 54957(b)(1)
Title: Chief Executive Officer
2. CONFERENCE WITH LABOR NEGOTIATORS
Agency designated representatives: Nicholaus Norvell, Interim General Counsel Unrepresented employee: Chief Executive Officer
3. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION Initiation of litigation pursuant to Government Code Section § 54956.9(d)(4): One (1) potential case
4. CONFERENCE WITH REAL PROPERTY NEGOTIATORS
Property: 15310 Barranca Pkwy., Suite 250, Irvine
Agency negotiator: Joe Mosca, Interim CEO
Negotiating parties: The Irvine Company
Under negotiation: Price and terms of payment
9. COMMITTEE REPORTS
1. COMMUNITY ADVISORY COMMITTEE UPDATE
Recommended Action:
Receive and file.
2. MARKETING AND COMMUNICATIONS COMMITTEE UPDATE
Recommended Action:
Receive and file.
3. LEGISLATIVE AND REGULATORY COMMITTEE UPDATE
Recommended Action:
Receive and file.
4. CHIEF EXECUTIVE OFFICER RECRUITMENT AD HOC COMMITTEE UPDATE
Recommended Action:
Receive and file.
10. CONSENT CALENDAR
All items listed under the Consent Calendar are considered to be routine and may be enacted by one motion. Prior to the motion to consider any action by the Board of Directors, any public comments on any of the Consent Items will be heard. There will be no separate action unless members of the Board of Directors request specific items be removed from the Consent Calendar.
1. MINUTES FOR THE REGULAR BOARD MEETING OF JULY 19, 2023 Recommended Action:
Approve as submitted.
2. TREASURER’S REPORT – FISCAL YEAR ENDED JUNE 30, 2023 AND Q2 2023 CHECK REGISTER
Recommended Action:
Receive and file.
3. RISK OVERSIGHT COMMITTEE UPDATE
Recommended Action:
Receive and file.
4. PUBLIC RECORDS ACT REPORT
Recommended Action:
Receive and file.
5. MARKETING, COMMUNICATIONS, STRATEGY, PUBLIC
ENGAGEMENT, DIGITAL AND GRAPHIC DESIGN CONTRACT
Recommended Action:
Approve First Amendment to Professional Services Agreement with Reveille for Marketing, Communications, Strategy, Public Engagement, Digital, and Graphic Design Services extending the initial term to two (2) years and establishing an updated not-to-exceed amount of $2,999,686, and authorize the Interim Chief Executive Officer or delegated staff to finalize and execute the First Amendment.
11. REGULAR CALENDAR
The following items call for discussion or action by the Board of Directors. The Board may discuss and/or take action on any item listed below if the Board is so inclined.
1. OCPA’S ANNUAL POWER SOURCE DISCLOSURE ATTESTATION FOR 2022
Recommended Action:
Based on the comprehensive portfolio review completed by OCPA’s consultants and staff, it is recommended that the Board endorse the accuracy of information presented in OCPA’s 2022 Power Source Disclosure reports for Basic Choice, Smart Choice and 100% Renewable Choice service as well as the related Power Content Label reflecting such products.
2. OFFICE SPACE DISCUSSION AND AUTHORIZATION
Recommended Action:
1) Authorize the CEO to negotiate and execute up to a twelve-month lease extension agreement with LBA Realty, Inc. for current office space, from November 1, 2023 through October 31, 2024, in a Not-to-Exceed (NTE) amount of $250,000.
2) Authorize the CEO to negotiate and execute up to a seven-year lease agreement with The Irvine Company for the 15310 Barranca Parkway, Irvine office space, in a NTE amount of $1,900,000.
3. APPOINTMENT OF BOARD DIRECTOR(S) TO LEGISLATIVE AND
REGULATORY COMMITTEE AND MARKETING AND
COMMUNICATIONS COMMITTEE
Recommended Action:
Approve Chair Fred Jung’s appointment of Board Director(s) to the Legislative and Regulatory Committee and the Marketing and Communications Committee to fill an early vacancy created by the change in representatives from the city of Buena Park to the OCPA Board of Directors.
4. NET ENERGY METERING ENROLLMENT UPDATE
Recommended Action:
Receive and file.
12. BOARD INITIATED ITEMS
1. PROPOSED AMENDMENTS TO THE OCPA JOINT POWERS AGREEMENT (Vice Chair Treseder)
13. STAFF REPORT
Staff may briefly provide information to the Board and the public. The Board may engage in discussion if the specific subject matter of the report is identified, but the Board may not take any action. There is to be no other discussion or action taken unless authorized by law.
14. ADJOURNMENT
Compliance with the Americans with Disabilities Act
Board of Directors meetings comply with the protections and prohibitions of the Americans with Disabilities Act. Individuals with a disability who require a modification or accommodation, including auxiliary aids or services, in order to participate in the public meeting may contact 949-263-2612. Requests for disability-related modifications or accommodations require different lead times and should be provided at least 72-hours in advance of the public meeting.
Availability of Board Documents
Copies of the agenda and agenda packet are available at www.ocpower.org. Late-arriving documents related to a Board meeting item which are distributed to a majority of the Board prior to or during the Board meeting are available for public review as required by law.
Public records, including agenda-related documents, can be requested electronically at [email protected] or by mail to 15642 Sand Canyon Avenue, P.O. Box 54283, Irvine, CA 92619-4283. The documents may also be posted at the above website. Such public records are also available for inspection, by appointment, at 3349 Michelson Drive, Suite 200, Irvine, CA 92612. Please contact [email protected] to arrange an appointment.
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 9.1
-------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Subject: COMMUNITY ADVISORY COMMITTEE UPDATE
Date: September 13, 2023
--------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Receive and file.
BACKGROUND
The Community Advisory Committee (CAC) met on Monday, September 11, 2023. Staff or a member of the CAC will provide an update on the CAC.
FISCAL IMPACT
None
ATTACHMENT
None
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 9.2
-------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Marketing and Communications Committee
Subject: MARKETING AND COMMUNICATIONS COMMITTEE UPDATE
Date: September 13, 2023
--------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Receive and File.
OVERVIEW
The Marketing and Communications Committee met on Friday, September 8, 2023. OCPA team delivered a presentation at the Committee meeting which summaries OCPA marketing & communications activities over the past several months and the strategic focus for the next several months, especially as it relates to our One-Year Anniversary (the same presentation will be given to the Board as part of Marketing & Communications Update). Reveille was present to provide an update on a survey conducted regarding OCPA and share research findings.
FISCAL IMPACT
None
ATTACHMENTS
Public Outreach Update
1 Public Outreach Update
Summer 2023
PUBLIC OUTREACH UPDATE SUMMER 2023
• Began planning for one-year anniversary of residential service in October • Participated in five community outreach events
• Became members of eight multicultural chambers/organizations • Presented OCPA overview to three multicultural organizations • Launched OhmConnect customer incentive program
• Filmed first two episodes of Sustainably Speaking with Joe Mosca • Earned positive media coverage
• Refreshed consumer brochure & website
• Released two community newsletters – June and August
• Conducted four paid social media campaigns
2 Highlights
3 PUBLIC OUTREACH UPDATE SUMMER 2023
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
4 PUBLIC OUTREACH UPDATE SUMMER 2023
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
5 PUBLIC OUTREACH UPDATE SUMMER 2023
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
6 PUBLIC OUTREACH UPDATE SUMMER 2023
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
7 PUBLIC OUTREACH UPDATE SUMMER 2023
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
8 PUBLIC OUTREACH UPDATE SUMMER 2023
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
PUBLIC OUTREACH UPDATE SUMMER 2023
Movie Theatre Ad
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
9 PUBLIC OUTREACH UPDATE SUMMER 2023
Social Media
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
10 PUBLIC OUTREACH UPDATE SUMMER 2023
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
11 PUBLIC OUTREACH UPDATE SUMMER 2023
• Climate change is bringing record dangerous high
temperatures for sustained periods of time. There is a
need for increased shade in member communities.
• In each member community, the city councils can
plant a small cluster of trees (3) around a bench in a
public space to create a shady resting spot for
residents. OCPA can place a commemorative plaque
on the back of the bench.
Commemorative resting spot
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
12 PUBLIC OUTREACH UPDATE SUMMER 2023 13
• Street artists are using public spaces to communicate important messages that make a statement.
• Using biodegradable paint, write an artful message on the street in front of member community City Halls to show the city’s commitment to addressing climate change.
• The message will be succinct and about climate action. We will craft a thought-provoking message to draw attention to
sustainability and renewable energy.
• Use a cherry picker or drone to photograph the city councils standing behind the message with City Hall in the background.
Climate Action Street Art
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
13 PUBLIC OUTREACH UPDATE SUMMER 2023 14
• Hold deskside briefings with Board Chair Fred Jung
and Interim CEO Joe Mosca
Media Outreach
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
14 PUBLIC OUTREACH UPDATE SUMMER 2023
• State of the Agency
City Council Presentations
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
15 PUBLIC OUTREACH UPDATE SUMMER 2023
• Orange County Sustainability Decathlon, October 7-8
• Irvine Global Village, October 14
• Buena Park, Silverado Days, October 20-22
• Fullerton ”Korea Day Harmony & Respect” Festival, October 27-29 • Huntington Beach Surf City Nights, October date TBD
ONE-YEAR ANNIVERSARY PLAN HIGHLIGHTS:
16 Community Outreach Events
PUBLIC OUTREACH UPDATE SUMMER 2023
BIG IDEA: CLIMATE ACTION CONVERSATIONS
17 • Engage outside experts to inform interested residents about the importance of renewable energy to address
climate change.
• Partner with other environmentally focused
organizations to co-sponsor the series to amplify
marketing efforts and reach more potential attendees
• Quarterly event
18 Activity Recap
PUBLIC OUTREACH UPDATE SUMMER 2023
COMPLETED
• City of Irvine Earth Day, April 15
• Irvine Korean Cultural Festival, May 13
• Fullerton Day of Music, June 21
• Buena Park Concerts in the Park, August 2
• Buena Park Super Senior Fair, August 12
COMMUNITY OUTREACH EVENTS
19 PUBLIC OUTREACH UPDATE SUMMER 2023
Established memberships with:
1. Asian Business Association of Orange County
2. Black Chamber of Orange County
3. Filipino American Chamber of Commerce of Orange County
4. Iranian American Chamber of Commerce
5. Korean American Chamber of Commerce
6. Orange County Chinese American Chamber of Commerce
7. Orange County Hispanic Chamber of Commerce
8. Vietnamese American Chamber of Commerce
MULITCULTURAL CHAMBER AND ORGANIZATION MEMBERSHIPS
20 PUBLIC OUTREACH UPDATE SUMMER 2023
Made presentations to:
• Asian Business Association of Orange County
• Filipino American Chamber of Commerce of Orange
County Power Networking Lunch
• Vietnamese American Chamber of Commerce Board
of Directors
MULTICULTURAL OUTREACH
21 PUBLIC OUTREACH UPDATE SUMMER 2023
Money and energy-saving program
communicated to customers via:
• Website
• Social media
• Newsletter
• Media release
OHMCONNECT MARKETING LAUNCH
22 PUBLIC OUTREACH UPDATE SUMMER 2023
• Recorded first episode with Chair Jung
• Recorded second episode with Ayn Craciun, Climate Action Campaign
SUSTAINABLY SPEAKING WITH JOE MOSCA
23 PUBLIC OUTREACH UPDATE SUMMER 2023
• Issued four media releases:
• Bright Futures Grant Recipients
• OhmConnect Partnership
• OCPA Hires Energy Programs Analyst and Promotes Key Staff • OCPA Demonstrates Continued Financial Strength With Approval of FY 23-24 Budget
MEDIA RELEASES
24 PUBLIC OUTREACH UPDATE SUMMER 2023
BROCHURE REFRESH
25 PUBLIC OUTREACH UPDATE SUMMER 2023 26
WEBSITE REFRESH
26 PUBLIC OUTREACH UPDATE SUMMER 2023
• June – August 2023
• 19 media mentions (broadcast, online/print, social)
• 84.2% positive
27 MEDIA SENTIMENT & PLACEMENTS
27 PUBLIC OUTREACH UPDATE SUMMER 2023
• 1,435 emails sent
• 59% open rate (average open for government-related is 28.77%) • 2.6% click through rate
• Top 2 website pages visited
○ Power Purchase Agreement blog post
○ Statement from Chair Fred Jung re: Appointment of Interim CEO, Joe Mosca
QUARTERLY COMMUNITY NEWSLETTER - JUNE
28 PUBLIC OUTREACH UPDATE SUMMER 2023
• 1,501 emails sent
• 56% open rate (average open for government-related is 28.77%) • 3.8% click through rate
• Top 2 website pages visited
○ OCPA demonstrates continued financial strength with
approved FY23-24 budget
○ Blog: Say hello to electricity bill savings
QUARTERLY COMMUNITY NEWSLETTER - AUGUST
29 PUBLIC OUTREACH UPDATE SUMMER 2023
Published three blog posts:
• Q&A with OCPA Vice Chair Kathleen
Treseder
• Say Hello to OhmConnect
• Views from the Climate Reality Project OC
BLOG POSTS
30 PUBLIC OUTREACH UPDATE SUMMER 2023
Ran four paid social campaigns:
• OCPA is 2% less than investor-owned utility (generation rate) • Newsletter signups
• Renewable energy movement
• Solar Net Surplus Compensation
SOCIAL MEDIA CAMPAIGNS
31 PUBLIC OUTREACH UPDATE SUMMER 2023
Provided information about:
• Who to contact in the event of a power outage
• Power outage preparedness kit recommendations
• How to sign up for OC Alert
32 TROPICAL STORM HILARY PREPARATION POSTS
32 THANK
YOU!
33 ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 9.3
-------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Legislative and Regulatory Committee
Subject: LEGISLATIVE AND REGULATORY COMMITTEE UPDATE
Date: September 13, 2023
--------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Receive and File.
OVERVIEW
The Legislative and Regulatory Committee met on Friday, September 8, 2023. Steven Halligan, Regulatory and Legislative Manager gave an update on several pieces of legislation and provided a summary of the end of the legislative session. A regulatory update was also provided and included topics such as Income-Graduated Fixed Charge Proposals and ERRA Compliance, Forecast, and General Rate Case. The materials and presentation from the meeting are below and attached.
LEGISLATIVE UPDATE
AB 1373 (Garcia) - Energy Reliability Budget Trailer Bill Assembly Bill (AB) 1373 provides the Department of Water Resources (DWR) authority to act as a centralized procurement entity (CPE) until January 1, 2030. It also requires the California Public Utilities Commission (CPUC) and the California Energy Commission (CEC) to assess capacity payments for load-serving entities (LSEs) and local publicly owned electric utilizes (POUs) that are deficient in their reliability obligations until June 30, 2027. Lastly, it authorizes the CPUC additional enforcement and subsequent penalty authority over the LSE’s integrated resource plans (IRP).
SB 867 (Allen) and AB 1567 (Garcia) - Climate Bonds
Senate Bill (SB) 867 (Allen) and AB 1567 (Garcia) would enact a Bond Act, which approved by the voters, which would authorize the issuance of bonds in the amount of $15.5-$16 billion to finance projects for drought, flood, and water resilience, wildfire and forest resilience, coastal resilience, extreme heat mitigation, biodiversity and nature-based climate solutions, climate smart agriculture, park creation and outdoor access, and clean energy programs.
Both bills propose $2 billion in funding for Clean Energy. The breakdown of how the money would be allocated differs in each bill. A summary of the $2 billion for Clean Energy is below.
SB 867 (Allen) AB 1567 (Garcia)
Clean Energy: $2 billion. Funding proposed as
follows:
• $500 million to support planning and
development or new or expanded high-voltage electrical transmission lines that are necessary to meet the state’s clean energy
goals as identified CAISO. No dispersing
agency has been identified.
• $500 million to the CEC for grants to assist
in obtaining federal grants related to regional
hubs as defined by IIJA and IRA.
• $500 million to the CEC for zero-emission
vehicle changing infrastructure.
• $500 million to the CEC for grants to support
the LDES program.
Clean Energy: $2 billion. Funding proposed as
follows:
• $750 million to the Infrastructure and
Economic Development Bank (I-Bank)
for clean energy transmission projects.
• $500 million to the CEC for grants to
assist in obtaining, or as a match fund for,
federal grants related to regional hubs in
the IIJA and IRA.
• $250 million to the CEC for zero-emission vehicle charging infrastructure in disadvantaged communities, with a
priority on investments in the California-Mexico border region. California tribal governments shall be eligible for
infrastructure funding.
• $500 million to the CEC for projects that
expand or modernize the distribution grid
to meet clean energy needs and
electrification load growth, including
new substations, modifications to
existing substations to increase capacity
or resiliency, reconductoring, community
microgrids, and adding new circuits.
California tribal governments shall be
eligible for infrastructure funding.
REGULATORY UPDATE
Orange County Power Authority (OCPA) staff are monitoring several ongoing regulatory proceedings at the California Public Utilities Commission (CPUC). A brief description of the proceeding and any current status updates are provided below.
Income-Graduated Fixed Charge Proposals
On April 7, 2023, Southern California Edison Company, Pacific Gas and Electric Company, and San Diego Gas & Electric Company (the Joint IOUs), filed joint testimony describing their Income-Graduated Fixed Charge Proposals. 1
The Joint IOUs’ proposal combines an Income Graduated Fixed Charge (IGFC) with lower volumetric rates on all residential rate schedules. This change comes after the passage of Assembly Bill 205 which removed the statutory language requiring default residential rates to be almost exclusively charged on a volumetric basis.
The proposal creates four household Income Brackets: 1) CARE customers with incomes less than 100% of the Federal Poverty level (FPL), 2) Remaining CARE and FERA customers, 3) Non-CARE or FERA customers with incomes up to or equivalent to 650% of FPL, and 4) Non-CARE customers with incomes above 650% of FPL.
Households with incomes less than $28,000 a year would pay a $15 monthly fee in SCE territory, households earning between $28,000 and $69,000 a year would pay $20, households earning $69,000 to $180,000 would pay $51, and those earning more than $180,000 would pay $85.
In a ruling issued June 19 by the CPUC administrative law judge assigned to the case, it is expected that the earliest that the income-graduated fixed charge will be implemented in customer rates is the end of 2026.
ERRA Compliance, ERRA Forecast and General Rate Case (GRC) Energy Resource Recovery Account (ERRA) Compliance applications are filed annually by the IOUs for review of costs associated with Utility Owned Generation (UOG) operations and fuel procurement, Portfolio Allocation Balancing Account (PABA) entries, economic dispatch of electric resources, and contract administration. IOUs are required to demonstrate compliance with CPUC decisions and the California Public Utilities Code. SCE Compliance Intervenor Testimony is due December 15, 2023.
ERRA Forecast Applications are filed annually by IOUs to forecast energy procurement-related revenue requirements, which includes forecast allocation of costs across PCIA vintages. SCE Intervenor Testimony is due August 8, 2023.
In four-year cycles, IOUs submit General Rate Case (GRC) applications for authority to adjust rates and charges for electric and gas service based on a future Test Year (TY). The revenue requirements include electric and gas distribution system costs, administrative expenses, and customer service costs.
Affordability – R.18-07-006
The proceeding was opened in 2018 to establish processes for assessing and increasing the affordability of utility service. The CPUC has addressed metrics and methodologies for assessing affordability. The proceeding is currently in Phase 3, considering strategies to limit/mitigate future energy rate increases. Phase 3 Proposed Decision is expected in Fall 2023.
BioMAT – R.22-10-010
The CPUC issued an Order Instituting Rulemaking (OIR) on October 20, 2022 to implement Assembly Bill (AB) 843 authorizing CCAs to participate in the Bioenergy Market Adjusting Tariff (BioMAT) program. AB 843 amended Public Utilities Code section 399.20 to extend to CCAs within an electrical corporation’s service territory the existing renewable feed-in tariff for qualifying bioenergy electric generation facilities. A Proposed Decision will be issued by September 27, 2023.
Demand Flexibility – R.22-07-005
The CPUC issued an OIR on July 22, 2022 to advance customer demand flexibility through electric rates to support reliability, decarbonization, and affordability. Phase 1 Scoping Memo and Ruling, dated November 2, 2022, set forth the schedule for Phase 1 of the proceeding, including two tracks for (1) establishing an income-graduated fixed charge for residential rates (Track A), and (2) streamlining the adoption of demand flexibility rates for IOUs (Track B).
Within Track B, Energy Division has formed two working groups. Working Group (WG) 1 will address demand flexibility rate design, including incorporation of wholesale market prices into demand flexibility price signals. The guidelines established in WG 1 will inform the IOUs’ rate design applications in the California Energy CPUC (CEC) Load Management Standards (LMS) proceeding. WG 2 will address the systems and processes necessary for customer access to prices to respond to price signals. To be considered in WG 2 are the systems and processes necessary to enable unbundled customers to take service on dynamic prices. Key to implementing widespread dynamic pricing is the establishment of one or more price machine(s) to compile the real-time prices with inputs from the LSEs and the CAISO market. Also being discussed are “transactive platforms” to allow parties to transact to avoid potential volatility associated with dynamic prices.
The Working Groups are also discussing subscription services to allow customers to subscribe to real-time pricing, but with guardrails to protect customers from wide price swings.
Integrated Resource Planning (IRP) – R.20-05-003
The IRP proceeding considers the CPUC’s electric procurement policies and programs to ensure safe, reliable, and cost-effective electricity supply. The proceeding evaluates system, local, and flexible reliability needs ten years out, authorizes procurement, and reviews LSEs’ procurement plans. The next cycle of IRP will begin shortly.
Provider of Last Resort (POLR) – R.21-03-011
The CPUC issued a Scoping Memo and Ruling on September 16, 2021 to set forth the scope in the POLR proceeding. This proceeding implements the POLR requirements and framework directed by SB 520. The POLR proceeding will be considered in three phases. Phase 1 will focus on issues necessary to establish a comprehensive framework for existing POLRs. Phase 2 will set rules that allow a different entity to be designated as the POLR. Phase 3 may be opened to consider any additional issues not covered in Phase 1 or 2. A Proposed Decision is expected in October 2023.
Renewable Portfolio Standard (RPS) R.18-07-003 / Voluntary Allocation and Market Offer (VAMO)
The Assigned Commissioner and Assigned ALJ issued a Ruling on May 5, 2023 identifying issues and schedule of review for 2023 RPS procurement plans. Pursuant to the Ruling, draft annual RPS procurement plans are due on July 17, 2023. Reply comments on draft RPS Plans are due August 29, 2023.
FISCAL IMPACT
None
ATTACHMENTS
Attachment A – 2023-24 Legislation Matrix
Attachment B – Presentation from September 8, 2023 Legislative and Regulatory Committee Measure Author Topic Sort Topic Summary Hearing Date Location AB 914 Friedman CEQA streamlining for interconnection Distribution Planning Exempt from CEQA certain electrical infrastructure projects intended to provide capacity or enhance reliability to accommodate the increased electrical demand + two-year agency review shot clock
TBD SEN - Appr.
AB 1513 Calderon Wildfire bonds Affordability 2 year bill AB 1567 Garcia Bonds for wildfire + other utility expenses Affordability Authorizes $2 billion in funding for clean energy projects, as follows TBD Sen - Policy AB 982 Villapudua Public Utilities Public Purpose Program Funds Affordability Creates Public Utilities Public Purpose Programs Fund to fund FERA/CARE + PPP programs
2 year bill
SB 867 Allen Bonds for wildfire + other utility expenses Affordability Authorizes $2 billion, upon appropriation by the Legislature, for clean energy programs
TBD Asm - Natural Resources
SB 572 Stern Ratepayer protection Affordability
Requires joint agencies to consider additional requirements to protect ratepayers from price spikes, stranded assets, duplication of services, and the risk of windfall profiteering and market manipulation. 8/16/2023 Asm - Appr.
AB 625 Aguiar-Curry Forest Biomass Waste Utilization Program Bioenergy 2 year bill AB 678 Alvarez Biomethane procurement targets or goals: core transport agents
Bioenergy 8/14/2023 Sen - Appr.
SB 488 Alvarado-Gil Authorize CCAs to procure bioenergy for capacity Bioenergy Authorize the cumulative rated generating capacity to be procured from bioenergy projects regardless of when the projects commence operations + autorize CCAs to procure any portion of a POUs required cumulative rated generating capacity from bioenergy projects capacity from bioenergy projects that was not procured because of the exemption described above. 2 year bill
AB 998 Connolly Biomass energy facilities: State Energy Resources Conservation and Development Commission: report Biomass 7/10/2023 Sen - Appr.
AB 1348 Grayson
Brown Act spot bill (AMENDED TO NOT BROWN
ACT) Brown Act TBD SEN - Appr.
AB 1379 Papan Brown Act teleconferencing Brown Act Expands teleconferencing abilties for CCAs 2 year bill AB 557 Hart Extends Brown Act public meetings waivers Brown Act TBD Sen Floor AB 817 Pacheco Open meetings: teleconferencing: subsidiary body Brown Act This bill would authorize a subsidiary body to use alternative teleconferencing provisions similar to the emergency provisions indefinitely and without regard to a state of emergency. In order to use teleconferencing pursuant to this act, the bill would require the legislative body that established the subsidiary body by charter, ordinance, resolution, or other formal action to make specified findings by majority vote, before the subsidiary body uses teleconferencing for the first time and every 12 months thereafter.
2 year bill
SB 411 Portantino Brown Act teleconferencing Brown Act Can continue teleconferencing under Brown Act TBD Asm - Appr.
SB 537 Becker Brown Act teleconferencing Brown Act
Brown act spot bill: expands local government’s access to hold public meetings through teleconferencing and remote access. TBD Asm - Appr.
AB 593 Haney Zero-emission buildings Buildings
This bill would require the commission, on or before June 1, 2024, to identify an emission reduction strategy, with milestones, for the building sector to support achieving those carbon emissions reduction goals, as provided. The bill would require the commission, on or before July 1, 2025, to implement the emission reduction strategy as a part of the Equitable Building Decarbonization Program and to take certain actions for purposes of implementing the strategy.
8/14/2023 SEN - Appr.
SB 306 Caballero Building decarbonization: Extreme Heat Action Plan Buildings Makes changes to the direct install program that was funded in the 2022- 23 state budget. The goal appears to be providing great direction on the use of the funds and directing more to underrepresented populations. 8/16/2023 Asm - Appr.
SB 48 Becker Water and Energy Savings Act Buildings
This bill would require the Energy Commission and the State Water Resources Control Board, in consultation with the State Air Resources Board, Public Utilities Commission, and Department of Housing and Community Development, on or before July 1, 2026, to jointly develop a strategy for using the energy and water usage data described above to track and manage the energy and water usage and emissions of greenhouse gases of covered buildings in order to achieve the state’s goals, targets, and standards related to energy and water usage and emissions of greenhouse gases of covered buildings, as specified. The bill would authorize the Energy Commission and the State Water Resources Control Board, upon appropriation, to jointly establish energy and water usage building performance standards consistent with the strategy. The bill would require the Energy Commission and State Water Resources Control Board to triennially evaluate the progress of the strategy in achieving improvements in energy and water efficiency and reducing the emissions of greenhouse gases and evaluate the impacts of the strategy on disadvantaged communities, as specified.
TBD Asm - Appr.
SB 610 Wiener CEC reporting CEC CEC chair must report annually to leg 2 year bill SB 664 Stern CEC IEPR deman forecasting CEC
This bill would require the Energy Commission ensure that the demand forecasts in the integrated energy policy report account for multiday extreme and atypical weather events and include, at a minimum, one-in-10- year, one-in-20-year, and one-in-40-year peak demand forecasts.
TBD Asm - Appr.
SB 149 Caballero Gov office's trailer bill langauge streamlining CEQA for renewable energy projects CEQA Signed by Governor
AB 1623 Muratsuchi Energy spot bill Clean Energy
Resources
Spot bill to accelerate deployment of clean energy resources, bolster electrical grid reliability, and support achievement of the state’s clean energy and climate change goals .
2 year bill
AB 1533 Garcia Definition of DERs DERs Changes definition of "ultraclean and low-emission distributed generation” TBD Sen - Policy AB 1664 Friedman DER plan enhacements DERs DER plans must better incorporate resiliency and cost effectiveness 2 year bill AB 547 Alanis Distribution of energy resources DERs Spot bill 2 year bill AB 691 Ting
Public Utilities Commission: energy efficiency
programs: report
EE PUC must report bienally on ratepayer-funded energy efficiency programs 2 year bill AB 1198 Grayson GO-Biz: Equity in energy task force Equity Establishes within GO-Biz the Equity in Energy Task Force with members as defined. The bill would require the task force to develop a comprehensive strategy aimed at addressing equity in the energy industry 8/14/2023 SEN - Appr.
AB 1374 Alvarez Increases GGRF money to disadvantaged
communities
Equity 2 year bill
AB 487 Ting Low-income energy programs: assessment Equity The PUC must make assessment biennially of the needs of low-income ratepayers to evaluate low-income program implementation and the effectiveness of weatherization services and energy efficiency measures in low-income households
2 year bill
SB 527 Min Equitable decarb program Equity
CPUC must create and Equitable Zonal Decarbonization Program for a small-scale community-targeted decarbonization program to ensure rate affordability, dedicated and prioritized funding for disadvantaged and low-income customers, and the development of high road jobs and workforces. 2 year bill
SB 529 Gonzalez EV ride share for affordable housing Equity CEC must create a grant program to facilitate EV sharing services, as defined, operated at permanent affordable multifamily housing properties 2 year bill SB 57 Gonzalez Legislation aimed at prohibiting the shut off of utility service during extreme weather events. Extreme Weather Intent legislation 2 year bill AB 326 Alanis Geothermal resources Geothermal Spot bill 2 year bill AB 1358 Muratsuchi Creates joint agency to reach renewable energy goals GHGs
Creates joint agency Tracking Energy Development Taskforce to develop policy recommendations to achieve the state's renewable energy goals 2 year bill AB 1373 Garcia Vehicle for the BCP GHGs Vehicle for the BCP TBD Sen - RLS.
AB 287 E. Garcia
GGRF Funds: competetive grants: funding
objectives GHGs Amending GGRF to pull more money into SD and Imperial Counties. 2 year bill AB 397 Essayli Global Warming Solutions Act: scoping plan GHGs Requires the scoping plan to include GHG limits due to wildlands and forest fires. 2 year bill
AB 585 Rivas CARB spot bill GHGs 8/14/2023 Sen - Appr.
AB 849 E. Garcia Community emissions reduction programs GHGs Require the air district, in adopting a community emissions reduction program, to consult with other relevant state agencies. 8/14/2023 Sen - Appr.
AB 9 Muratsuchi Global Warming Solutions Act; emissions limit GHGs Requires statewide GHG emissions are reduced to at least 55% below the 1990 level by no later than December 31, 2030. 2-year bill SB 12 Stern
California Global Warming Solutions Act: Emissions
Limit
GHGs
Requires statewide GHG emissions are reduced to at least 55% below the 1990 level by no later than December 31, 2030. 2 year bill SB 253 Weiner GHG reporting GHGs Requires large companies in CA to report GHG emissions 8/16/2023 Asm - Appr.
SB 261 Stern GHG reporting GHGs
Facitilites that report to CARB must also prepare a climate-related financial risk report and measures to reduce financial risk. 8/16/2023 Asm - Appr.
SB 511 Blakespear CARB report on GHG emissions GHGs
CARB must report on greenhouse gas emission inventories for the calendar year 2025 for each city, county, city and county, and special district, TBD Asm - Appr.
AB 324 Pacheco Renewable hydrogern Hydrogen Directs the CPUC to consider establishing a renewable hydrogern procurement goal. 2-year bill
AB 673 Bennett Hydrogen-fueling stations: preference Hydrogen 2 year bill AB 1293 Irwin Electrical corporations: interconnection Interconnection - EV 125 business day shot clock for EV energization TBD Sen - Appr.
AB 50 Wood Energy demand; communication Interconnection - Load
Require a public utility to furnish and maintain timely service, instrumentalities, equipment, and facilities; require CPUC by January 1, 2025, to determine the criteria for timely service for electric customers that meets specified requirements; pending CPUC determination, requires each large electrical corporation to make a good faith effort to deliver electric service within 90 day; allows bill credits for customer when commitment isn't kept.
8/14/2023 Sen - Appr.
SB 83 Wiener
Legislation aimed at requiring public utility
companies to provide comments on
postentitlement phase permit applications and
connect new construction to the electrical grid
within specified timeframes.
Interconnection -
Load
IOUS must interconnect a development project within 8 weeks of project becoming "interconnecction ready"; allows extension if specific issues prevent interconnection with c ompensation at 25 cents/sq ft; requires IOU shareholders to bear cost of compensation
2 year bill
SB 410 Becker Utility distribution and intervconnection planning and cost recovery
Interconnection -
Load
Establishes working group by March 1, 2024 to propose process improvements to inform IOUs of needed distriubtion system capacity increases; IOUs must provide data to the PUC on the response time to provide upgraded electrical service to customers for electrification upgrades in buildings, panel upgrades, solar installations, or electric vehicle chargers; requires report on staffingand training; require planning to consider transportation and building electrification and local government plans related to same; requires PUC to allow costs for interconnection of residential buildings that exceed the IOUs allowances to be treated as a common facility cost recovered from all ratepayers
TBD Asm - Appr.
AB 643 Berman Interconnection DER shot clock Interconnection -DER CPUC reports and penalizes IOU delays to DER interconnection. IOUs must be more responsive to interconnection inquiries (within 3 business days) 2 year bill AB 1172 Calderon Nuclear fusion Nuclear
Requires CEC to evaluate fusion, fusion energy, aneutronic fusion, experimental fusion, and fusion power plant production as a part of the 2025 IEPR
TBD Sen - Appr.
AB 65 Mathis Procurement from nuclear fission thermal power plants Nuclear
Requires CPUC before January 1, 2026, to adopt a plan to increase procurement from nuclear facilities and to phase out procurement from gas facilities
2 year bill
AB 3 Zbur Offshore wind spot bill Offshore Wind
Requires CEC to report to the legislature by July 1, 2025 on procurement mechanisms and strategies for offshore wind energy projects to be financed, entitled, constructed and operated within timeframes necessary to meet goals; requires CEC and State Lands do develop plan for seaport readiness and report to the legislature by January 1, 2026; requires CEC and GoBiz to study feasibility of achieving 70% to 85% in-state assembly and manufacturing of offshore wind energy projectsby July 1, 2027 8/14/2023; moved
to suspense file Sen - Appr.
AB 344 Wood Offshore wind procurement Offshore Wind Spot bill to be used to address OSW once the AB 525 report is released; permits joint procurement agreements for offshore wind facilities 2 year bill AB 80 Addis Offshore Wind Coastal Protection Act Offshore Wind Establishes West Coast Offshore Wind Science Entity to ensure monitoring of California ocean ecosystem 8/14/2023 Sen - Appr.
SB 286 McGuire Offshore Wind Offshore Wind
Requires CEC to process a consolidated coastal development permit for new development for offshore wind; makes State Lands lead agency for CEQA for OSW; establish CA OSW Fisheries Working Group; requires working group re compensatory mitigation for unavoidable impacts on commercial and recreational fisheries from OSW; creates fund to compensate
TBD Asm - Appr.
SB 422 Portantino CEQA streamlining for interconnection Permitting Specified agencies to perform environmental analysis of reasonabley foreseeable methods of compliane; imposes labor requirements on use of focused EIR to iinstall pollution control equipment; imposes labor requiremens for projects consisting solely of compliance with a performance standard or treatment requirement
8/16/2023 Asm - Appr.
SB 56 Skinner LSE; IRP Procurement Spot bill
Valencia PUC rules on ex parte PUC Allows written communications during quiet period if served on service list AB 1538 Muratsuchi RA incentive payments to LSEs RA
PUC must establish a Clean Energy Reliability Program to provide incentive payments to LSEs that exceed their capacity requirements. 2 year bill AB 995 Ting
Electricity: resouce adequacy requirements:
reporting
RA
Requires LSEs including CCAs to report biannully (instead of anually) the % of local and system RA requirements from the previous calendar year that was met with zero carbon capacity.
2 year bill
AB 1429
Boerner
Horvath Rates/charges Rates spot bill 4/19/2023 2 year bill AB 538 Holden Multistate regional transmission system
organizations: membership Regionalization
Prohibits CA electrical transmission owner, retails seller, or POU from joining multistate regional transmission system organization unless organizational documents meet FERC and specified state requirements as determined by CEC
2 year bill; LegCom Voted
5/26 to Support moving to
Board
AB 1132 Friedman Solar energy systems: permit fees. Solar Extends until January 1, 2034 limit on permit fees a city or county may charge for residential or commercial solar TBD SEN - Floor AB 1181 Zbur Multifamily Affordable Housing Solar Roofs program: bill credits Solar
Require bill credits for all participating accounts that participate; design tariff structure reduce barriers to the installation of solar energy storage technologie; allow for participant choice of virtual net metering or direct metering.
2 year bill
AB 1238 Ward Hazardous waste: solar panels Solar Requires Toxic Substandes to develop alternative PV management standards TBD 2 year bill
AB 2 Ward Recycling solar photovoltaic modules Solar Requires PV manufacturers to develop end of life management plan for recycling of solar PV
8/14/2023; moved
to suspense file Sen - Appr.
AB 704 Patterson
Energy: building standards: photovoltaic
requirements
Solar
Requires residential construction intended to repair, restore, or replace a residential building damaged or destroyed as a result of a disaster proclaimed by the Governor to comply only with requirements regarding PV pursuant to the regulations, if any, that were in effect at the time the damaged or destroyed residential building was originally constructed 2 year bill
SB 355 Eggman
Multifamily Affordable Housing Solar Roofs
program
Solar Modifies requirements re income level eligibilty 8/16/2023 Asm - Appr.
SB 49 Becker Tax incentives; Solar Canopies Solar
Provides gross receipts tax exemption for the construction of solar canopies; requires DOT, CEC, CPUC to develop strategic plan to lease and license DOT ROW to utilities or other entities building and operating renewable generation, energy storage, and electric transmission TBD Asm - Appr.
SB 38 Laird Battery storage; safety systems Storage
Require battery energy storage facility to have emergency response plan and evacutation plan that covers its area TBD Asm - Appr.
SB 605 Padilla Wave/tidal energy Tidal energy
Requires CEC to study and develop strategic plan for deployment of wave energy and tidal technologies; written report to Gov and Leg by January 1, 2025; requires CEC to solicit applications for pilot projects; requires inclusion of technology in SB 100 joint agency reports
8/16/2023 Asm - Appr.
SB 319 McGuire Electrical transmission Transmission Spot bill 8/16/2023 Asm - Appr.
SB 420 Becker Streamline transmission facilities Transmission Requires a lead agency to monitor clean energy and electrical transmission facility planning and deployment, and identify facilities necessary to maintain system reliability, and streamline them.
TBD Asm - Appr.
SB 619 Padilla Transmission Transmission
Would expand the facilities eligible to be certified by the commission to include electrical transmission lines carrying electricity from certain other facilities that are located in the stateif capital spend is at lease $250 million TBD Asm - Appr.
AB 1182 Petrie-Norris Clean energy deployment plan. Transportation 8/14/2023 Sen - APPR.
AB 1267 Ting
Zero-emission vehicle incentive programs: diesel
and gasoline superusers Transportation 2 year bill
AB 1349 Irwin
Transportation electrification: grant recipients: data
reporting
Transportation
Require recipients of grants for ZEV charging stations to collect data on the status of their stations and to submit that data to a publicly accessible application.
2 year bill
AB 1504 McCarty EV charging zoning Transportation
This bill would provide that EV charging station includes EV charging stations installed in the public right-of-way and EV charging stations installed with a battery storage system.
2 year bill
AB 1525 Bonta ZEV equity Transportation
Spot bill to promote equity first in transportation funding and to prioritize funding to vulnerable communities. 2 year bill
AB 1529 Gabriel ZEV charing stations Transportation Spot bill to convert gas stations to EV charging stations 2 year bill AB 1580 Carillo
Develop a State Electric Vehicle Infrastructure
Deployment Plan that is consistent with federal
requirements
Transportation 2 year bill
AB 1614 Gabriel Study possibilities of transitioning gas stations to EVs
Transportation 8/14/2023 Sen - APPR.
AB 241 Reyes Clean Transportation Program Transportation Intent legislation. Bill will focus on extension of AB 8, Clean Transportation Program
TBD Passed Appropriations
AB 463 Hart
Electricity: prioritization of service: public transit
vehicles Transportation
CPUC must consider the economic, social equity, and mobility impacts of a temporary discontinuance in electrical service to the customers that rely on electrical service to operate public transit vehicles.
2 year bill
AB 579 Ting Schoolbuses: zero-emission vehicles Transportation Require, commencing January 1, 2035, 100% of all newly purchased or contracted schoolbuses of a school district, county office of education, or charter school to be zero-emission vehicles, where feasible. 8/14/2023 Sen - APPR.
AB 591 Gabriel Electrical vehicle service equipment: universal connectors and public accessbility Transportation
Require an electric vehicle charging station that requires payment of a fee to allow a person desiring to use the station to pay via credit card 2 year bill AB 6 Friedman ZEVs Transportation
Spot bill to prioritize and fund transportation projects that significantly contribute towards the goals outlined in a region’s sustainable communities strategy and the state’s climate goals.
2 year bill
AB 772 Jackson Electric vehicle chargers Transportation Requires IOUs + POUs after 2024 to install an EV charger at a homeowner’s property within a reasonable time. The PUC will establish accounts to track moneys allocated to IOUs and POUs for that purpose.
AB 980 Friedman Active Transportation Program: guidelines: hearings Transportation 2 year bill SB 222 Nguyen Electric Bikes Transportation
Intent language on electric bike regulations. Could potentially be looking to expand regulations on e-bikes. 2 year bill
SB 233 Skinner ZEV charging Transportation
All EV supply equipment sold in California have bidirectional capability by 2027
TBD Asm - Appr.
SB 30 Umberg ZEV signage Transportation
Spot bill to develop light-duty ZEV charging station signage along state highways and a publicly accessible online platform that identifies the locations of EV charger along state highways.
TBD Asm - APPR.
SB 397 Wahab EV chargers Transportation Spot bill on EV chargers at rest stops 2 year bill SB 493 Min MD/HD infrastructure assesment Transportation CEC must create assessment of the electric and hydrogen infrastructure needed to meet the stated MD/HD deadlines. TBD Asm - Appr.
SB 507 Gonzalez ZEV goal assesment Transportation
CEC must asses whetther EV charging infrastructure is enough needed for state goals, and evaluate equitable deployment. 2 year bill SB 823
Smallwood-Cuevas
EV charger discount card Transportation
PUC myst create an IOU Discounted Electric Vehicle Charging Payment Card Program for residents to use at public EV chargers in order to pay a rate equivalent if they were using an at-home EV charger
2 year bill
SB 84 Gonzalez Clean Transportation Program Transportation Intent legislation. Bill will focus on extension of AB 8, Clean Transportation Program
6/1/2023
Ordered to inactive file on
request of Senator
Gonzalez.
AB 1155 Flora Vegetation Management Wildfire Mitigation Requires standards for vegetation inspection in veg management plans; establishes rebuttable presumption that meeting those standards means standard of care is met (!)
4/24/2023 2 year bill
AB 1195 Calderon Community grants for climate projects and workforce Workforce
Creates Climate Change Preparedness, Resiliency, and Jobs for Communities Program to fund grants to develop and implement multibenefit, community-level, climate-beneficial projects to support community and landscape resiliency and workforce development 2 year bill
AB 735 Berman Workforce development: utility careers Workforce 2 year bill SB 822 Durazo
Ensuring labor for state renewable energy and
transportation
Workforce
Instill policies and programs to create or support high-quality jobs in the energy, resources, and transportation sectors; reqiores state agencies to incorporat high road employment requirements in procurement processes and incentives by November 1, 2024
TBD Asm - Appr.
AB 100-AB
221
Budget Bills Spot bill
SB 100-SB
220
Budget Bills
LEGISLATIVE UPDATE
LEGISLATIVE UPDATE
Legislative Calendar
LEGISLATIVE UPDATE
AB 1373 (Garcia) - Energy Reliability Budget
Trailer Bill
Assembly Bill (AB) 1373 provides the Department of Water Resources (DWR) authority to act as a centralized procurement entity (CPE) until January 1, 2030. It also requires the California Public Utilities Commission (CPUC) and the California Energy Commission (CEC) to assess capacity payments for load-serving entities (LSEs) and local publicly owned electric utilizes (POUs) that are deficient in their reliability obligations until June 30, 2027. Lastly, it authorizes the CPUC additional enforcement and subsequent penalty authority over the LSE’s integrated resource plans (IRP).
LEGISLATIVE UPDATE
SB 867 (Allen) and AB 1567 (Garcia) - Climate
Bonds
• Senate Bill (SB) 867 (Allen) and AB 1567 (Garcia)
would enact a Bond Act, which approved by the
voters, which would authorize the issuance of bonds
in the amount of $15.5-$16 billion to finance projects
for drought, flood, and water resilience, wildfire and
forest resilience, coastal resilience, extreme heat
mitigation, biodiversity and nature-based climate
solutions, climate smart agriculture, park creation and outdoor access, and clean energy programs.
LEGISLATIVE UPDATE
SB 867 (Allen) and AB 1567 (Garcia) - Climate
Bonds
SB 867 (Allen) AB 1567 (Garcia)
Clean Energy: $2 billion. Funding proposed as follows:
•$500 million to support planning and development or new or expanded high-voltage electrical transmission lines that are necessary to meet the state’s clean energy goals as identified CAISO. No dispersing agency has been identified.
•$500 million to the CEC for grants to assist in obtaining federal grants related to regional hubs as defined by IIJA and IRA.
•$500 million to the CEC for zero-emission vehicle changing infrastructure. •$500 million to the CEC for grants to support the LDES program.
Clean Energy: $2 billion. Funding proposed as follows:
•$750 million to the Infrastructure and Economic Development Bank (I-Bank) for clean energy transmission projects. •$500 million to the CEC for grants to assist in obtaining, or as a match fund for, federal grants related to regional hubs in the IIJA and IRA. •$250 million to the CEC for zero-emission vehicle charging infrastructure in disadvantaged communities, with a priority on investments in the California-Mexico border region. California tribal governments shall be eligible for infrastructure funding. •$500 million to the CEC for projects that expand or modernize the distribution grid to meet clean energy needs and electrification load growth, including new substations, modifications to existing substations to increase capacity or resiliency, reconductoring, community microgrids, and adding new circuits. California tribal governments shall be eligible for infrastructure funding.
LEGISLATIVE UPDATE
Summary of Bills (As of 8/24/23)
Tracked 104 bills this year
Two Year Bill
50%
Assembly appropriations
22%
Senate Appropriations
16%
Signed by Governor
1%
Other
11%
REGULATORY UPDATE
REGULATORY UPDATE
Income-Graduated Fixed Charge Proposals
• On April 7, 2023 Southern California Edison Company,
Pacific Gas and Electric Company, and San Diego Gas &
Electric Company (the Joint IOUs), filed joint testimony describing their Income-Graduated Fixed Charge
Proposals.
• The Joint IOUs’ proposal combines an Income Graduated Fixed Charge (IGFC) with lower volumetric rates on all
residential rate schedules. This change comes after the passage of Assembly Bill 205 which removed the
statutory language requiring default residential rates to be almost exclusively charged on a volumetric basis.
REGULATORY UPDATE
Income-Graduated Fixed Charge Proposals
The proposal creates four household Income Brackets: 1) CARE customers with incomes less than 100% of the Federal Poverty level (FPL), 2) Remaining CARE and FERA customers, 3) Non-CARE or FERA customers with incomes up to or equivalent to 650% of FPL, and 4) Non-CARE customers with incomes above 650% of FPL.
REGULATORY UPDATE
Income-Graduated Fixed
Charge Proposals
• In a ruling issued June 19, 2023 by the CPUC
administrative law judge assigned to the case,
it is expected that the earliest that the income-graduated fixed charge will be implemented in customer rates is the end of 2026.
REGULATORY UPDATE
ERRA Compliance, ERRA Forecast and General
Rate Case (GRC)
• Energy Resource Recovery Account (ERRA) Compliance
applications are filed annually by the IOUs for review of costs associated with Utility Owned Generation (UOG)
operations and fuel procurement, Portfolio Allocation
Balancing Account (PABA) entries, economic dispatch of
electric resources, and contract administration. IOUs are required to demonstrate compliance with CPUC decisions
and the California Public Utilities Code. SCE Compliance Intervenor Testimony is due December 15, 2023.
REGULATORY UPDATE
ERRA Compliance, ERRA Forecast and General
Rate Case (GRC)
• ERRA Forecast Applications are filed annually by IOUs to forecast energy procurement-related revenue
requirements, which includes forecast allocation of costs across PCIA vintages.
• In four-year cycles, IOUs submit General Rate Case
(GRC) applications for authority to adjust rates and
charges for electric and gas service based on a future
Test Year (TY). The revenue requirements include
electric and gas distribution system costs, administrative expenses, and customer service costs.
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 9.4
-------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Nicholaus Norvell, General Counsel
Subject: CHIEF EXECUTIVE OFFICER RECRUITMENT AD HOC UPDATE Date: September 13, 2023
--------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Receive and file.
BACKGROUND
The Chief Executive Officer Recruitment Ad Hoc Committee or General Counsel will provide an update regarding recruitment of a Chief Executive Officer.
FISCAL IMPACT
None
ATTACHMENT
None
OCPA Board Regular Meeting of July 19, 2023 Page 1
MINUTES
REGULAR MEETING
BOARD OF DIRECTORS
ORANGE COUNTY POWER AUTHORITY
Wednesday, July 19, 2023
1. CALL TO ORDER
Chair Jung called to order the Regular Meeting of the Orange County Power Authority Board of Directors at 10:02 a.m. on Wednesday, July 19, 2023.
2. PLEDGE OF ALLEGIANCE
Director McKeon led the Pledge of Allegiance.
3. ROLL CALL
Present: Director Casey McKeon City of Huntington Beach Alt. Director Susan Sonne City of Buena Park Arrived at 10:08 a.m.
Director Tammy Kim City of Irvine Arrived at 10:59 a.m.
Vice Chair Kathleen Treseder City of Irvine
Chair Fred Jung City of Fullerton
4. PUBLIC COMMENTS ON AGENDA ITEMS
The following spoke in public comments regarding July 19, 2023, agenda items:
Ayn Craciun
Alt. Director Sonne arrived and took her seat at the dais at 10:08 a.m.
Linda Kraemer
5. PUBLIC COMMENTS ON NON-AGENDA ITEMS
None
6. DIRECTOR ANNOUNCEMENTS & REPORTS ON CONFERENCES/EVENTS
ATTENDED
Vice Chair Treseder requested an update on the status of the RFP for the CEO recruitment firm.
OCPA Board Regular Meeting of July 19, 2023 Page 2
Chair Jung stated that he had completed the rating and that the award of contract would be completed by the next Board meeting.
Director McKeon would like an item at the next Board meeting on the issue with the residents that opt out and are being opted back in.
THE CLOSED SESSION ITEM WAS TAKEN OUT OF ORDER AND DISCUSSED AFTER ITEM 10.4.
7. CLOSED SESSION
Director Kim addressed the residents and Board to explain her late arrival.
Recess to Closed Session
At 11:07 a.m., Chair Jung called on General Counsel Norvell to recess the Board to closed session. General Counsel Norvell announced the Board was recessing to closed session. The following Board Members were present: Sonne, Kim, McKeon, Treseder, and Jung. Also present was Board Counsel Norvell.
1. PUBLIC EMPLOYEE APPOINTMENT
Pursuant to Government Code Section § 54957(b)(1)
Titles: Chief Executive Officer
2. CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED
LITIGATION
Initiation of litigation pursuant to Government Code Section § 54956.9(d)(4): One (1) potential case
Reconvene
At 11:32 a.m., the Meeting of the Orange County Power Authority reconvened with the following present: Directors Sonne, Kim, McKeon, Treseder, and Jung.
General Counsel Norvell reported out of Closed Session that the Board met in Closed Session discussed Items 7.1 and 7.2 as listed on the agenda and there was no reportable action taken.
8. COMMITTEE REPORTS
1. COMMUNITY ADVISORY COMMITTEE UPDATE
Chair Neal provided a report from their June 12, 2023, Committee Meeting.
9. CONSENT CALENDAR
ACTION
OCPA Board Regular Meeting of July 19, 2023 Page 3
Vice Chair Treseder made the motion, seconded by Director McKeon to:
Approve consent calendar items 9.1 – 9.2.
The motion carried unanimously by the following 4-0 vote:
Ayes: Chair Jung, Vice Chair Treseder,
Alt. Director Sonne, Director McKeon,
Noes: None
Absent: Director Kim
Abstain: Alt. Director Sonne Abstained on Item 9.1 only.
1. MINUTES FOR THE REGULAR BOARD MEETING OF JUNE 21, 2023 AND SPECIAL MEETING OF JUNE 16, 2023
Action Taken:
Approved as submitted.
2. AUTHORIZE THE CEO TO EXECUTE A RATE STRATEGY AND
FINANCIAL PLANNING & ANALYSIS SERVICES AGREEMENT WITH
NEWGEN STRATEGIES AND SOLUTIONS, LLC FOR A TWO-YEAR
TERM WITH THE OPTION TO EXTEND FOR TWO ADDITIONAL ONE
YEAR TERMS AND A NOT-TO-EXCEED AMOUNT OF $495,750
Action Taken:
Authorized the CEO to execute a two-year Agreement with the option to extend for two additional one-year terms, from July 19, 2023 through June 30, 2027, with NewGen Strategies and Solutions, LLC for Rate Strategy and Financial Planning & Analysis (FP&A) services, in a Not-to-Exceed (NTE) amount of $495,750.
10. REGULAR CALENDAR
1. RATIFY RATES EFFECTIVE JUNE 10, 2023
CFO Law provided a brief summary of this item.
Chair Jung requested confirmation that SCE’s three updates were for rate increases.
CFO Law responded in the affirmative.
Vice Chair Treseder stated that the rate design was set last year in September by the previous Board Members and asked if staff was providing a workshop to discuss setting the new rates.
CFO Law responded in the affirmative.
OCPA Board Regular Meeting of July 19, 2023 Page 4
Chair Jung made the motion, seconded by Alt. Director Sonne to:
Ratify rates effective June 10, 2023.
The motion carried by the following 4-0 vote:
Ayes: Chair Jung, Vice Chair Treseder,
Alt. Director Sonne, and Director McKeon
Noes: None
Absent: Director Kim
2. DISCUSS AND APPROVE ORANGE COUNTY POWER AUTHORITY
STRATEGIC PLAN 2023-2026
Interim CEO Mosca provided a brief presentation on this item.
Alt. Director Sonne suggested a shorter 11-words or less mission statement as follows: Provide renewable energy and equitably reinvest to support sustainable communities.
Vice Chair Treseder was excited with the presented items and supported Alt.
Director Sonne’s shorter version for the mission statement.
Chair Jung would like to add “at competitive rates” to the proposed mission statement.
Alt. Director Sonne made the motion, seconded by Vice Chair Treseder to:
Approve Orange County Power Authority Strategic Plan 2023-2026 with the amended mission statement.
The motion carried by the following 4-0 vote:
Ayes: Chair Jung, Vice Chair Treseder,
Alt. Director Sonne, and Director McKeon
Noes: None
Absent: Director Kim
3. WEBSITE REFRESH UPDATE
Interim CEO Mosca introduced the presentation on this item.
John Cheresh and Rachel Orchard, Goldencomm representatives and Brenda Springer and Brenda Deely, Reveille representatives presented this item.
OCPA Board Regular Meeting of July 19, 2023 Page 5
Chair Jung requested clarification on the disabilities and impaired options. The presenting staff informed him that the website was ADA complaint.
Alt. Director Sonne requested a link to the updated website to review and provide further recommendations and feedback.
Vice Chair Treseder appreciated the website update and requested that the lead character in the explainer video be representative of the demographics of the customer base and female.
Action Taken:
Received and filed.
Director Kim arrived and took her seat at the dais at 10:59 a.m.
4. APPROVE FOURTH AMENDMENT TO JOINT POWERS AGREEMENT
General Counsel Norvell provided a brief summary of this item.
Alt. Director Sonne requested clarification of the weighted voting process if the item did not pass, and the weighted vote remained in place.
General Council Norvell explained the existing weighted vote process.
Director McKeon asked if Irvine’s seed money had been repaid. He was informed that it had not been repaid.
Vice Chair Treseder provided background information on why she had to vote against removing the weighted vote. She noted that her no vote was under protest.
Director Kim also provided background information on how she would vote on this item.
Chair Jung made the motion, seconded by Alt. Director Sonne to:
Approve Fourth Amendment to Joint Powers Agreement.
The motion failed by the following 3-2 vote:
Ayes: Chair Jung, Alt. Director Sonne, and Director Kim Noes: Vice Chair Treseder and Director McKeon
Absent: None
THE BOARD RECESSED AT 11:07 A.M. TO CLOSED SESSION AND RECONVENED AT 11:32 A.M.
OCPA Board Regular Meeting of July 19, 2023 Page 6
5. UPDATE ON WITHDRAWAL OF COUNTY OF ORANGE AND
ASSESSMENT OF COSTS AND LIABILITIES CAUSED BY
WITHDRAWAL
General Counsel Norvell provided a brief summary of this item.
Chair Jung asked the audience to forgive the erroneous comments by the public.
These hard costs were incurred, and the Agency and their customers should not be burdened.
Action Taken:
Received update on withdrawal of County and current amounts due to OCPA as a result of withdrawal; provided direction to move forward as presented.
6. UPDATE SALARY SCHEDULE FOR DIRECTOR OF POWER
RESOURCES
Interim CEO Mosca provided a brief summary on this item.
Chair Jung stated his concerns with the potential salary compaction from this elevation; however, the upcoming compensation and class salary study should alleviate said concerns.
Vice Chair Treseder stated her support of this item.
Alt. Director Sonne made the motion, seconded by Vice Chair Treseder to:
Approve updated salary schedule for Director of Power Resources.
The motion carried by the following 5-0 vote:
Ayes: Chair Jung, Vice Chair Treseder, Director Kim
Alt. Director Sonne, and Director McKeon
Noes: None
Absent: None
7. CONSIDERATION OF OPTIONS ON MARKETING,
COMMUNICATIONS, STRATEGY, PUBLIC ENGAGEMENT, DIGITAL
AND GRAPHIC DESIGN CONTRACT
Interim CEO Mosca provided a brief summary on this item.
Alt. Director Sonne made the motion, seconded by Chair Jung to:
OCPA Board Regular Meeting of July 19, 2023 Page 7
Confirm award of the contract to Reveille based on the results of the prior RFP process and direct staff to place an amendment of the contract on a September agenda.
The motion carried by the following 5-0 vote:
Ayes: Chair Jung, Vice Chair Treseder, Director Kim
Alt. Director Sonne, and Director McKeon
Noes: None
Absent: None
8. DISCUSSION OF SEPTEMBER BOARD MEETING DATE
Interim CEO Mosca provided a brief summary on this item.
Director Kim made the motion, seconded by Vice Chair Treseder to:
1. Cancel the September 20, 2023 Regular Board Meeting and schedule a Regular Board Meeting on September 13, 2023.
2. Adopt Resolution No. 2023-06, amending the Board’s 2023 regular meeting schedule to reschedule the September regular Board meeting.
11. STAFF REPORT
Interim CEO Mosca provided several highlights from his agenda staff report.
12. ADJOURNMENT
There being no further business to come before the Board, Chair Jung adjourned the July 19, 2023, Orange County Power Authority Board Regular meeting at 11:51 a.m.
Submitted by:
Pat Jacquez-Nares, Authority Secretary
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 10.2
--------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Tiffany Law, Chief Financial Officer
Subject: TREASURER’S REPORT – FISCAL YEAR ENDED JUNE 30, 2023 AND Q2 2023
CHECK REGISTER
Date: September 13, 2023
---------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Receive and file.
BACKGROUND
The Treasurer’s Report is the financial statement of the Orange County Power Authority and should be presented to the governing body quarterly. The report is created in accordance with accounting principles generally accepted in the United States of America. The Treasurer’s Report comprises the statement of net position and the related statement of revenues, expenses, and changes in net position, and the statement of cash flows.
OCPA has prepared draft financial statements for the year-to-date July 1, 2022, through June 30, 2023, along with budgetary comparisons. The financial statements ending June 30, 2023, are considered a draft until the annual audit has been completed in Q4 2023.
ANALYSIS AND DISCUSSION
The unaudited financial statements for the fiscal year ending June 30, 2023, highlight OCPA's commendable financial performance, outpacing its FY2022/23 Mid-Year Budget expectations of the bottom line increase in net position. With a full year of commercial operations and 9 months of residential undertakings, OCPA's fiscal year-to-date bottom line stands impressively at $49.8 million, marking a surplus of approximately $8.8 million or 22% over our mid-year budget.
Financial Highlights for the Fiscal Year Ended June 30, 2023:
• Net Electricity Sales: This includes both revenues billed to customers and estimated customer usage not yet billed. It is roughly $9.7 million or 3.4% below the mid-year budget, primarily due to modestly lower actual consumption than expected. However, despite this reduced sales figure, our bottom line has remained robust. This resilience can be attributed to energy costs that were about $16.2 million or 6.9% below our mid-year projections.
Thus, as of June 30, 2023, our increase to net position was approximately $49.8 million or 22% above the mid-year budget.
• Cost of Energy: Alongside the reduced energy sales, our energy costs were $16.2 million or 6.9% below the mid-year budget. This positive variance results from lower sales volume, the timing difference between projected and actual Renewable Energy Certificates (RECs) deliveries, and fluctuating market prices. OCPA strategically hedged its consumption load, resulting in a net credit of about $53.6 million from the CAISO for FY22/23. Our procured fixed-price contracts, totaling $194.8 million, proved favorable against the CAISO market settlement of $248.4 million.
• Non-Energy Operating Costs: Excluding energy costs, we achieved savings over our mid-year budget by approximately $1.3 million or 13.7%. • Loan Status with US Bank: As of March 2023, OCPA has settled its loan from US Bank's (formerly MUFG Union Bank) revolving credit facility in full. As of June 30, 2023, US Bank issued approximately $15.1 million in Letters of Credit to various power suppliers and the California ISO as collateral on behalf of OCPA, leaving an unused balance of around $19.9 million on our credit facility.
• Year-end Bottom Line: As of June 30, 2023, our year-end increase to net position was $49.8 million. This is 22% above the mid-year budget of $41 million. Additionally, OCPA’s Rate Stabilization Reserves have accrued to $50 million.
There were no unusual transactions of note during this period of reporting.
FISCAL IMPACT
There is no financial impact from receiving the report.
ATTACHMENT
A. Treasurer’s Report ending June 30, 2023
B. Q2 2023 Check Register
1 ACCOUNTANTS’ COMPILATION REPORT
Management
Orange County Power Authority
Management is responsible for the accompanying financial statements of Orange County Power Authority (a California Joint Powers Authority) which comprise the statement of net position as of June 30, 2023, and the related statement of revenues, expenses, and changes in net position, and the statement of cash flows for the period then ended in accordance with accounting principles generally accepted in the United States of America. We have performed a compilation engagement in accordance with Statements on Standards for Accounting and Review Services promulgated by the Accounting and Review Services Committee of the AICPA. We did not audit or review the accompanying statements nor were we required to perform any procedures to verify the accuracy or completeness of the information provided by management. Accordingly, we do not express an opinion, conclusion, nor provide any assurance on these financial statements.
Management has elected to omit substantially all of the note disclosures required by accounting principles generally accepted in the United States of America in these interim financial statements.
Orange County Power Authority’s annual audited financial statements include the note disclosures omitted from these interim statements. If the omitted disclosures were included in these financial statements, they might influence the user’s conclusions about the Authority’s financial position, results of operations, and cash flows. Accordingly, these financial statements are not designed for those who are not informed about such matters.
We are not independent with respect to the Authority because we performed certain accounting services that impaired our independence.
Maher Accountancy
San Rafael, CA
August 7, 2023
1101 Fifth Avenue, Suite 200 San Rafael, CA 94901 415 459 1249 mahercpa.com ASSETS
Current assets
Cash - unrestricted 26,027,295 $
Cash - restricted 5,800,000
Accounts receivable, net of allowance 23,368,725
Accrued revenue 22,484,870
Other receivables 3,271,945
Prepaid expenses 11,356,560
Deposits 1,740,963
Total current assets 94,050,358
LIABILITIES
Current liabilities
Accrued cost of electricity 33,665,184
Accounts payable 511,743
Other accrued liabilities 932,519
User taxes and energy surcharges due to other governments 1,249,713 Accrued interest and financing costs 11,830
Total current liabilities 36,370,989
Noncurrent liabilities
Loan payable 7,527,841
Accrued interest and financing costs 119,092
Total noncurrent liabilities 7,646,933
Total liabilities 44,017,922
NET POSITION
Unrestricted 50,032,436
Total net position 50,032,436 $
ORANGE COUNTY POWER AUTHORITY
STATEMENT OF NET POSITION
As of June 30, 2023
See accountants' compilation report. 2
OPERATING REVENUES
Electricity sales, net 276,155,422 $
OPERATING EXPENSES
Cost of electricity 218,158,223
Contract services 5,279,249
Staff compensation 2,435,733
Other operating expenses 721,549
Total operating expenses 226,594,754
Operating income (loss) 49,560,668
NONOPERATING REVENUES (EXPENSES)
Miscellaneous income 913,358
Investment income 50,185
Interest and financing expense (701,477)
Nonoperating revenues (expenses), net 262,066
CHANGE IN NET POSITION 49,822,734
Net position at beginning of period 209,702
Net position at end of period 50,032,436 $
ORANGE COUNTY POWER AUTHORITY
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN NET POSITION
Year Ended June 30, 2023
See accountants' compilation report. 3
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers 259,631,529 $
Receipts from market settlements 44,563,948
Other operating receipts 1,410,916
Payments to suppliers for electricity (266,607,579)
Payments for goods and services (5,448,214)
Payments to employees for services (2,381,535)
Payments of taxes and energy surcharges to other governments (5,163,302) Net cash provided (used) by operating activities 26,005,764
CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES
Proceeds from note payable 34,100,000
Payments of loan principal (124,539)
Payments of note principal (41,750,000)
Payments of interest and related expenses (694,109)
Net cash provided (used) by non-capital
financing activities (8,468,648)
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from investment sales 147,587
Interest income received 50,185
Net cash provided (used) by investing activities 197,772 Net change in cash 17,734,888
Cash at beginning of period 14,092,407
Cash at end of period 31,827,295 $
Reconciliation to the Statement of Net Position
Cash (unrestricted) 26,027,295 $
Restricted cash 5,800,000
Cash 31,827,295 $
ORANGE COUNTY POWER AUTHORITY
STATEMENT OF CASH FLOWS
Year Ended June 30, 2023
See accountants' compilation report. 4
RECONCILIATION OF OPERATING INCOME (LOSS) TO NET
CASH PROVIDED (USED) BY OPERATING ACTIVITIES
Operating income (loss) 49,560,668 $
Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities
Revenue adjusted for allowance for uncollectible accounts 3,495,639 (Increase) decrease in:
Accounts receivable (15,863,045)
Other receivables (485,671)
Accrued revenue (9,974,718)
Prepaid expenses (5,552,658)
Deposits (1,516,387)
Increase (decrease) in:
Accrued cost of electricity 5,064,016
Accounts payable (72,009)
Other accrued liabilities 695,000
User taxes and energy surcharges due to other governments 654,929 Net cash provided (used) by operating activities 26,005,764 $
ORANGE COUNTY POWER AUTHORITY
STATEMENT OF CASH FLOWS (continued)
Year Ended June 30, 2023
See accountants' compilation report. 5
1 ACCOUNTANTS’ COMPILATION REPORT
Board of Directors
Orange County Power Authority
Management is responsible for the budgetary comparison report of Orange County Power Authority (OCPA), a California Joint Powers Authority, for the period ended June 30, 2023, and for determining that the budgetary basis of accounting is an acceptable financial reporting framework. We have performed a compilation engagement in accordance with Statements on Standards for Accounting and Review Services promulgated by the Accounting and Review Services Committee of the AICPA. We did not audit or review the accompanying statement nor were we required to perform any procedures to verify the accuracy or completeness of the information provided by management. Accordingly, we do not express an opinion, a conclusion, nor provide any assurance on this special purpose budgetary comparison statement.
The special purpose statement is prepared in accordance with the budgetary basis of accounting, which is a basis of accounting other than accounting principles generally accepted in the United States of America. This report is intended for the information of the Board of Directors of OCPA.
Management has elected to omit substantially all of the note disclosures required by accounting principles generally accepted in the United States of America in these interim financial statements.
OCPA’s annual audited financial statements include the note disclosures omitted from these interim statements. If the omitted disclosures were included in these financial statements, they might influence the user’s conclusions about the Authority’s financial position, results of operations, and cash flows.
Accordingly, these financial statements are not designed for those who are not informed about such matters.
We are not independent with respect to OCPA because we performed certain accounting services that impaired our independence.
Maher Accountancy
San Rafael, CA
August 7, 2023
1101 Fifth Avenue, Suite 200 San Rafael, CA 94901 415 459 1249 mahercpa.com YTD Actual
YTD Amended
Budget
YTD
Amended
Budget
Variance
(Under) Over
YTD Actual as
a Percent of
Amended
Budget
Annual
Amended
Budget
Annual
Amended
Budget
Remaining
OPERATING REVENUES Electricity Sales, net $ 276,155,422 $ 285,887,000 $ (9,731,578) 96.6% 285,887,000 $ $ (9,731,578) OPERATING EXPENSES Cost of Energy 218,158,223 234,366,000 (16,207,777) 93.1% 234,366,000 (16,207,777) Data Manager 1,414,772 1,403,000 11,772 100.8% 1,403,000 11,772 Utilities Service Fees 694,532 690,000 4,532 100.7% 690,000 4,532 Staffing Costs 2,435,733 3,070,000 (634,267) 79.3% 3,070,000 (634,267) Contract Services 1,106,687 1,287,000 (180,313) 86.0% 1,287,000 (180,313) Legal Services 931,317 790,000 141,317 117.9% 790,000 141,317 Marketing and Customer Enrollment 1,131,941 1,241,000 (109,059) 91.2% 1,241,000 (109,059) Other G&A 721,549 800,000 (78,451) 90.2% 800,000 (78,451) Energy Programs - 500,000 (500,000) 0.0% 500,000 (500,000) Total operating expenses 226,594,754 244,147,000 (17,552,246) 244,147,000 (17,552,246) Operating income (loss) 49,560,668 41,740,000 7,820,668 41,740,000 7,820,668 NONOPERATING REVENUES (EXPENSES) Investment and miscellaneous income 963,543 8,000 955,543 12,044.3% 8,000 955,543 Interest and financing expense (701,477) (753,000) 51,523 93.2% (753,000) 51,523 Capital Outlay - (10,000) 10,000 0.0% (10,000) 10,000 Nonoperating revenues (expenses), net 262,066 (755,000) 1,017,066 (755,000) 1,017,066 CHANGE IN NET POSITION $ 49,822,734 $ 40,985,000 $ 8,837,734 $ 40,985,000 $ 8,837,734
ORANGE COUNTY POWER AUTHORITY
BUDGETARY COMPARISON REPORT
Year Ended June 30, 2023
See accountants' compilation report. 2
Budget Item
Actual /
Budget % Comment
Electric Sales Revenue 96.6%
Cost of Energy 93.1%
Personnel 79.3%
Professional Services 86.0%
This includes both revenues billed to customers and estimated customer usage not yet billed. It is roughly $9.7 million or 3.4% below the mid-year budget, primarily due to lower actual consumption than expected. However, despite this reduced sales figure, our bottom line has remained robust. This resilience can be attributed to energy costs that were about $16.2 million or 6.9% below our mid-year projections. Thus, as of June 30, 2023, our increase to net position was approximately $49.8 million or 22% above the mid-year budget.
Alongside the reduced energy sales, our energy costs were $16.2 million or 6.9% below the mid-year budget. This positive variance results from lower sales volume, the timing difference between projected and actual Renewable Energy Certificates (RECs) deliveries, and fluctuating market prices. OCPA strategically hedged its consumption load, resulting in a net credit of about $53.6 million from the CAISO for FY22/23. Our procured fixed-price contracts, totaling $194.8 million, proved favorable against the CAISO market settlement of $248.4 million.
Staffing expenses are under budget due to the timing delay of new hires.
This category includes accounting and financial audit, rates and financial & planning analysis, portfolio management, scheduling coordinator, HR and board clerk, OCPA goal setting & team building workshop, recruiter, and state and member agencies audit advisory services.
Legal Costs 117.9% This category includes outside legal costs for general counsel, energy procurement transactional support, labor, clerk support, regulatory, RA appeal, and County withdrawal services. Actual costs exceeded budget due to the ad-hoc labor related investigation costs, state and member agencies audits, member withdrawal, and high volume of regulatory and compliance filing services.
Marketing and Customer Enrollment 91.2% This category includes advertising, strategic marketing & communications, digital marketing and website development and revamp, customer noticing, translation, sponsorships & memberships, and other customer communications.
Other General & Administrative 90.2% This category includes rent, CalCCA membership dues, general business insurance, IT small equipment and software, travel, and other general and administrative costs.
Energy Programs 0.0% Programs budget of $500k will be carried forward to FY2023/24.
Investment and Miscellaneous Income 12,044.3% Miscellaneous income includes the County of Orange withdrawal cost of $913k.
Interest and Financing Expenses 93.2% This category includes interest and fees related to debt.
ORANGE COUNTY POWER AUTHORITY
BUDGETARY COMPARISON REPORT
Year Ended June 30, 2023
CITY OF IRVINE
On January 2021, OCPA borrowed $2,500,000 from the City of Irvine for working capital costs associated with OCPA's pre-launch.On September 2021, OCPA borrowed $5,000,000 from the City of Irvine for cash collateral in the credit facility associated with OCPA'slaunch.The loan repayment date for the above is January 1, 2027. Interest is due on the loan in an amount based on the gross earnings for the respective quarter as reported in the City Treasurer's pooled investment portfolio report. Also included as a loan payable are formation related costs - $152,380 paid directly from the City to the vendors. OCPA will reimburse the City no later than January 1, 2027. Interest does not accrue on the formation costs advanced by the City. Principal Maturity Interest Rate Payments Outstanding Principal $ January 2027 0.00% 124,539 152,380 $ 27,841 $
$ January 2027 7,500,000
Variable - City
Treasurer's
report $ 7,500,000 - $
US BANK ( formerly MUFG UNION BANK, N.A.) CREDIT FACILITYOn September 2021, OCPA and US Bank (formerly MUFG Union Bank, N.A.) entered into a Revolving Credit Agreement for a $35 million credit facility OCPA has outstanding borrowings of $0 as of June 30, 2023.On May 2023, US Bank acquired MUFG Union Bank, N.A.US Bank (formerly MUFG Union Bank, N.A.) has also issued a $2,611,948 Letter of Credit to Pacific Gas & Electric; a $2,977,000 Letter of Credit to Southern California Edison Company; a $3,500,000 Letter of Credit to Shell; a $400,000 Letterof Credit to California ISO; a $2,597,157 Letter of Credit to Marsh Landing, and a $3,060,750 Letter of Credit to NexteraCredit Facility Letter of Credit Borrowing Unused Credit $ 15,146,855 35,000,000 $ - $ 19,853,146 $
ORANGE COUNTY POWER AUTHORITY
SCHEDULE OF OUTSTANDING DEBT
As of June 30, 2023
Date Vendor Description Amount
04/01/2023 3349 Michelson Drive Irvine LLC April expenses 12,400.00 04/03/2023 Union Bank (Commercial Loan Pmt) March2023 interest expense 52,846.71 04/03/2023 Union Bank (Commercial Loan Pmt) March2023 interest expense 5,978.78 04/05/2023 MUFG Union Bank, N.A. Bank fees on SBLC 35.00 04/05/2023 MUFG Union Bank, N.A. Bank fees on SBLC 150.00 04/06/2023 Small Business Diversity Network Access to capital event - Event Table 330.00 04/10/2023 Lincoln Financial Group 04/10/23 Retirement debit 401A 13,948.54 04/10/2023 Lincoln Financial Group 04/10/23 Retirement debit 401A 6,013.36 04/10/2023 Portland General Electric Co RECs purchase 362,740.00 04/11/2023 Fullerton Mayor's Prayer Breakfast Fullerton Mayor's Prayer Breakfast 1,000.00 04/11/2023 MUFG Union Bank, N.A. Bank fees on SBLC 250.00 04/11/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 247.43 04/11/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 3,476.61 04/11/2023 Tullett Prebon Americas Corp. Broker Fees - The Energy Authority 2,100.00 04/13/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 184.77 04/14/2023 3349 Michelson Drive Irvine LLC Parking {po: 1015} 73.00 04/14/2023 Baker Tilly US, LLP, formerly Management Partners Inc March 2023 - Management Services {po: 1013} 567.50 04/14/2023 Balance Public Relations Inc. April 2023 - Consulting and lobby services {po: 1014} 13,500.00 04/14/2023 CITY OF BUENA PARK - UUT March Utility User Tax 91,040.91 04/14/2023 CITY OF HUNTINGON BEACH - UUT March Utility User Tax 316,559.02 04/14/2023 CITY OF IRVINE - UUT March Utility User Tax 119,373.62 04/14/2023 Dell Marketing L.P. Two Keyboards 130.55
04/14/2023 Huntington Beach Chamber of Commerce Mayor's Breakfast 2023 90.00 04/14/2023 Jacquez-Nares, Pat Shipping reimbursement 20.22 04/14/2023 Jung, Fred Expense reimbursement - Business meals 296.36 04/14/2023 Maher Accountancy April 2023 - Treasurer and Accounting Services {PO:1005} 18,000.00 04/14/2023 METHOD TECHNOLOGIES (INC) Support Options - MS Suite and other software {po: 1017} 1,749.35 04/14/2023 NewGen Strategies & Solutions, LLC March 2023 - Financial & Economic Consulting services {po: 1006} 8,627.50 04/14/2023 Orange County Printing Company June 2023 Courtesy Letters {po: 1007} 3,998.07 04/14/2023 SDRMA May employee benefit charges 13,682.09 04/14/2023 Warner Andrea Expense Reimbursement 565.67
04/18/2023 3349 Michelson Drive Irvine LLC Parking {po: 1015} 37.33 04/18/2023 Littler Mendelson, PC March legal services {po: 1016} 690.00 04/18/2023 Littler Mendelson, PC February legal services {po: 1016} 276.00 04/19/2023 3349 Michelson Drive Irvine LLC Parking {po: 1015} 400.00 04/20/2023 AES March 2023 capacity purchases 562,500.00 04/20/2023 Powerex April Energy Purchases 79,166.67
04/20/2023 San Diego Gas & Electric March 2023 Rec (LT/ST) 9,650.29 04/20/2023 Southern California Edison March 2023 Capacity purchases 176,029.80 04/21/2023 California Community Choice Association CALCCA April-June 2023 membership dues 91,495.50 04/21/2023 Golden Communications Inc Sustaining Professional Services and Consulting Fees, Monthly Managed Web Services, and Additional Labor - March 2023 {po: 1004} 6,474.00 04/21/2023 Lincoln Financial Group 04/21/23 Retirement debit 401A 13,928.80 04/21/2023 Lincoln Financial Group 04/21/23 Retirement debit 457B 6,005.36 04/21/2023 Pacific Energy Advisors Inc. March 2023 - Monthly Services {po: 1008} 37,500.00 04/21/2023 The Energy Authority Inc. (Service Fees) March - Resource Management Monthly Fees {PO:1011} 13,600.00 04/24/2023 Calpine Energy Services L.P. March Capacity Purchases 204,750.00 04/24/2023 Constellation Energy Generation, LLC March energy purchases 4,940,000.25 04/24/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 20.00 04/24/2023 Morgan Stanley Capital Group March energy purchases 2,249,217.75 04/24/2023 Morgan Stanley Capital Group December RECs 368,524.80 04/24/2023 Shell Energy North America February capacity purchases 127,000.00 04/24/2023 Shell Energy North America February energy purchases 5,346,720.00 04/24/2023 Shell Energy North America April 2023 Emissions 1,791,267.75 04/24/2023 Shell Energy North America April 2023 Emissions 346,232.25 04/24/2023 Sunrise Power Company LLC March capacity purchase 1,906,250.00 04/24/2023 Transalta Energy Marketing Us Inc. March Energy Purchases 1,453,599.45 04/25/2023 MUFG Union Bank, N.A. March 2023 Analysis deficit fees 1,025.36 04/27/2023 Union Bank (Credit Card) Zoom.com - subscription 348.88 04/27/2023 Union Bank (Credit Card) Polly's Pies - Board Meeting Pastries 44.45 04/27/2023 Union Bank (Credit Card) Go to Connect - business account for call center 897.81 04/27/2023 Union Bank (Credit Card) Southwest - CALCCA Board Meeting 305.97 04/27/2023 Union Bank (Credit Card) Southwest - CALCCA Board Meeting 305.97 04/27/2023 Union Bank (Credit Card) Postino - Team Building Lunch 370.90 04/27/2023 Union Bank (Credit Card) Smith.AI - answering service 220.00 04/27/2023 Union Bank (Credit Card) Distributech - Conference 285.00 04/27/2023 Union Bank (Credit Card) Smashballon.com - Custom Facebook Feed WordPress Plugin-1yr Updates & Support 49.00 04/27/2023 Union Bank (Credit Card) Mags Donuts & Bakery - Board Meeting Pastries 53.75 04/27/2023 Union Bank (Credit Card) Amazon - 2 Stanchions for Board Room 354.01 04/27/2023 Union Bank (Credit Card) Delta Air - San Francisco to Los Angeles 133.90 04/27/2023 Union Bank (Credit Card) Best Buy - 2 TV's for Board Room 593.83 04/27/2023 Union Bank (Credit Card) Orange County Business Council - 2023 Annual Dinner 550.00 04/27/2023 Union Bank (Credit Card) Orange County Business Council - 2023 Annual Investment 2,500.00 04/27/2023 Union Bank (Credit Card) Orange County Business Council - 2023 Annual Dinner, Sacramento trip 1,000.00 04/27/2023 Union Bank (Credit Card) Lyft - Car Ride in Sacramento 13.72 04/27/2023 Union Bank (Credit Card) Uber - Car Ride in Sacramento 12.21 04/27/2023 Union Bank (Credit Card) credit card fees 142.04 04/27/2023 Union Bank (Credit Card) Greater Irvine Camber of Commerce - women of influence signature event 620.00 04/27/2023 Union Bank (Credit Card) Office Depot - Pens 36.61 04/27/2023 Union Bank (Credit Card) Office Depot - Correction tapes and dispensers 11.84 04/27/2023 Union Bank (Credit Card) Siam Station Thai Food 200.00 04/27/2023 Union Bank (Credit Card) Parking 50.00
04/27/2023 Union Bank (Credit Card) John Wayne Airport 48.00 04/27/2023 Union Bank (Credit Card) Famous Famiglia 12.68 04/27/2023 Union Bank (Credit Card) Southwest - Sacramento meeting 108.99 04/27/2023 Union Bank (Credit Card) Southwest - Sacramento meeting 108.99 04/27/2023 Union Bank (Credit Card) Go to Connect - business account for call center 882.39 04/27/2023 Union Bank (Credit Card) Zoom.com - subscription 350.88 04/27/2023 Union Bank (Credit Card) Smith.AI - answering service 220.00 04/27/2023 Union Bank (Credit Card) Office Depot - binder clips 14.47 04/27/2023 Union Bank (Credit Card) Courtyard Marriott - Sacramento conference 398.62 Orange County Power Authority
PAYMENTS ISSUED APRIL 1, 2023 THROUGH MAY 31, 2023
04/27/2023 Union Bank (Credit Card) Bart 10.00
04/27/2023 Union Bank (Credit Card) Courtyard Marriott - Sacramento conference 482.66 04/27/2023 Union Bank (Credit Card) E&L Taxicab Service 51.60 04/27/2023 Union Bank (Credit Card) Amazon - push cart dolly, folding table, cable protector cover 245.60 04/27/2023 Union Bank (Credit Card) Pretend City - Annual smart fundraising luncheon 150.00 04/27/2023 Union Bank (Credit Card) Best Buy - hdmi cable 43.09 04/27/2023 Union Bank (Credit Card) Bon Appetit - CAC meeting 696.64 04/27/2023 Union Bank (Credit Card) Bon Appetit - Board meeting 789.02 04/27/2023 Union Bank (Credit Card) Amazon - tool set 37.70 04/27/2023 Union Bank (Credit Card) Amazon - AA batteries 20.26 04/27/2023 Union Bank (Credit Card) Amazon - Ziploc bags 37.70 04/27/2023 Union Bank (Credit Card) Alaska Air - San Francisco 257.81 04/27/2023 Union Bank (Credit Card) CAIOC - Education luncheon 600.00 04/27/2023 Union Bank (Credit Card) Amazon - note pads, wipes, sticky notes, wireless remote clicker, aaa batteries 127.09 04/27/2023 Union Bank (Credit Card) Amazon - TV stand with wheels 258.38 04/27/2023 Union Bank (Credit Card) credit card fees 102.48 04/28/2023 California Department of Tax and Fee Administration January-March 2023 Electric Energy Surcharge 189,004.00 04/28/2023 City of Buena Park 2023 State of the City - Gold Sponsorship 1,000.00 04/28/2023 Energy Development & Construction Corporation February RECs purchases 24,732.00 04/28/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 9.79 04/28/2023 LBA IV-PPI, LLC Deposit and May Rent 38,000.00 04/28/2023 Orange County Printing Company Post Enrolment Notice {po: 1007} 831.33 04/28/2023 Orange County Printing Company Post Enrolment Notice {po: 1007} 695.86 04/28/2023 Orange County Printing Company Post Enrolment Notice {po: 1007} 574.25 04/28/2023 Zodiac Solutions, LLC February 2023 Fees {po: 1012} 7,275.00 05/01/2023 Energy Development & Construction Corporation February RECs purchases 8,478.00 05/01/2023 Southern California Edison January 2023 RECs 853,030.20 05/03/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 100.00 05/04/2023 Calpine Energy Solutions March 2023 services {po:1003} 193,902.10 05/04/2023 Dell Marketing L.P. Dell Computer Equipment 2,073.09 05/04/2023 Dell Marketing L.P. Dell Computer Equipment 1,871.80 05/05/2023 Best Best & Krieger March 2023 - County Withdrawal {po: 1002} 5,172.00 05/05/2023 Best Best & Krieger March 2023 - Investigation; July, August, September 2022 - reimbursable costs {po: 1002} 66,265.27 05/05/2023 Best Best & Krieger March 2023 - Public Records Requests {po: 1002} 5,470.00 05/05/2023 Best Best & Krieger March 2023 - Labor and Employment {po: 1002} 205.00 05/05/2023 Best Best & Krieger March 2023 - General Counsel {po: 1002} 14,455.54 05/05/2023 Best Best & Krieger March 2023 - Financial/Power Procurement {po: 1002} 13,943.50 05/05/2023 Best Best & Krieger March 2023 - Regulatory - CPUC {po: 1002} 27,101.00 05/05/2023 MUFG Union Bank, N.A. Bank fees on SBLC 150.00 05/05/2023 MUFG Union Bank, N.A. Bank fees on SBLC 35.00 05/05/2023 Northern California Power Agency October & November 2022 REC Sale 282,997.00 05/05/2023 Orange County Printing Company Post Enrolment Notice {po: 1007} 39,005.00 05/05/2023 Orange County Printing Company Pre Enrolment Notice {po: 1007} 3,702.15 05/05/2023 Orange County Printing Company Post Enrolment Notice {po: 1007} 654.63 05/05/2023 Reveille Inc. OCPA Professional Services through March 31, 2023 -- {po: 1010} 27,727.54 05/08/2023 Lincoln Financial Group 05/08/23 Retirement debit 457A 18,833.92 05/08/2023 Lincoln Financial Group 05/08/23 Retirement debit 457B 7,908.16 05/11/2023 United Language Group, Inc. Translation of residential notices into 7 languages 6,598.46 05/12/2023 CITY OF BUENA PARK - UUT April Utility User Tax 68,626.41 05/12/2023 CITY OF HUNTINGON BEACH - UUT April Utility User Tax 246,570.51 05/12/2023 CITY OF IRVINE - UUT April Utility User Tax 100,538.21 05/12/2023 Joe Mosca March & April expense reimbursement 362.92 05/12/2023 METHOD TECHNOLOGIES (INC) Support Options - MS Suite and other software {po: 1017} 1,940.05 05/12/2023 METHOD TECHNOLOGIES (INC) Computer Installation, Move, or Reload of Operating System {po: 1017} 600.00 05/12/2023 NewGen Strategies & Solutions, LLC April 2023 - Financial & Economic Consulting services {po: 1006} 5,638.75 05/12/2023 Orange County Printing Company Post Enrolment Notice {po: 1007} 258.97 05/12/2023 Warner Andrea April Expense Reimbursement 113.73 05/12/2023 Wregis WREGIS - Annual registration fee 125.00 05/12/2023 Zodiac Solutions, LLC March 2023 Fees {po: 1012} 9,075.00 05/15/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 424.92 05/16/2023 Baker Tilly US, LLP, formerly Management Partners Inc April 2023 - Management Services {po: 1013} 1,007.50 05/16/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 20.00 05/16/2023 Irvine Korean Cultural Festival Bronze Sponsorship of Irvine Korean Cultural Festival 2,500.00 05/16/2023 Maher Accountancy May 2023 - Treasurer and Accounting Services {PO:1005} 18,000.00 05/16/2023 Orange County Printing Company Post Enrolment Notice {po: 1007} 520.02 05/16/2023 Orange County Printing Company Post Enrolment Notice {po: 1007} 228.60 05/17/2023 Dell Marketing L.P. Dell Computer Equipment 327.39 05/17/2023 San Diego Gas & Electric Security Deposit on August-September 2023 RA Deal 113,303.00 05/18/2023 Lincoln Financial Group 5/18 retirement fees debit 596.01 05/18/2023 Lincoln Financial Group 5/18 retirement fees debit 831.35 05/19/2023 Golden Communications Inc Sustaining Professional Services and Consulting Fees, Monthly Managed Web Services, and Additional Labor - April 2023 {po: 1004} 9,949.00 05/22/2023 AES April 2023 capacity purchases 562,500.00 05/22/2023 Powerex May Energy Purchases 79,166.67
05/22/2023 San Diego Gas & Electric April 2023 Rec (LT/ST) 9,510.66 05/22/2023 Southern California Edison April Capacity 176,029.80 05/23/2023 Calpine Energy Services L.P. April Capacity Purchases 204,750.00 05/23/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 309.15 05/23/2023 Lincoln Financial Group 05/23/23 Retirement debit 457B 6,520.83 05/23/2023 Lincoln Financial Group 05/23/23 Retirement debit 401A 15,170.52 05/23/2023 Morgan Stanley Capital Group April Energy Purchases 1,613,923.00 05/23/2023 Shell Energy North America March energy purchases 5,639,652.00 05/23/2023 Shell Energy North America March capacity purchases 167,000.00 05/23/2023 Sunrise Power Company LLC April capacity purchase 1,906,250.00 05/23/2023 Transalta Energy Marketing Us Inc. April Energy Purchases 1,437,399.00 05/24/2023 ARTHUR J. GALLAGHER & CO. INSURANCE, INC General Liability Insurance 309.75 05/24/2023 Association of California Cities Sponsorship - ACC-OC Board of Directors Installation and Reception 1,500.00 05/24/2023 Reveille Inc. OCPA Professional Services through April 30, 2023 -- {po: 1010} 18,775.00 05/24/2023 SDRMA June employee benefit charges 13,682.09 05/24/2023 The Energy Authority Inc. (Service Fees) April - Resource Management Monthly Fees {PO:1011} 14,620.00 05/25/2023 AmTrust North America Workers Compensation Insurance - effective 6/3/23- 6/3/24 16,003.00 05/25/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 135.00 05/26/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 280.71 05/26/2023 Lee, Agustin Overnight FedEx Shipping 68.30
05/26/2023 MUFG Union Bank, N.A. Bank fees on SBLC 35.00 05/26/2023 MUFG Union Bank, N.A. Bank fees on SBLC 7,651.88 05/26/2023 Orange County Printing Company Buena Park Letter {po: 1007} 713.05 05/26/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 304.66 05/26/2023 Orange County Printing Company Buena Park Letter {po: 1007} 766.59 05/26/2023 Zodiac Solutions, LLC April 2023 Fees {po: 1012} 9,525.00 05/29/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 2,225.00 05/30/2023 Calpine Energy Solutions April 2023 services {po:1003} 196,116.36 05/30/2023 Union Bank (Credit Card) credit card fees (7.21) 05/30/2023 Union Bank (Credit Card) Mulberry Street Pizza 110.93 05/30/2023 Union Bank (Credit Card) Zoom.com - subscription 350.88 05/30/2023 Union Bank (Credit Card) NetSuite Invoice 64.99 05/30/2023 Union Bank (Credit Card) Go to Connect - business account for call center 483.29 05/30/2023 Union Bank (Credit Card) Adobe - Computer Software 719.52 05/30/2023 Union Bank (Credit Card) Smith.AI - answering service 220.00 05/30/2023 Union Bank (Credit Card) Buena Park Restaruant 91.98 05/30/2023 Union Bank (Credit Card) Treseder Elected Luncheon 90.00 05/30/2023 Union Bank (Credit Card) Postino - Irvine Restaurant Food 227.89 05/30/2023 Union Bank (Credit Card) Plark PL Center - Conference room rental 450.00 05/30/2023 Union Bank (Credit Card) Park PL Center - Food for Committee Meetings 401.13 05/30/2023 Union Bank (Credit Card) Patty Cruz's Flight 536.80 05/30/2023 Union Bank (Credit Card) Amazon - Misc. Office Supplies 77.02 05/30/2023 Union Bank (Credit Card) Irvine Restaurant - All Staff 199.26 05/30/2023 Union Bank (Credit Card) Amazon - Misc. Office Supplies 15.75 05/30/2023 Union Bank (Credit Card) Public Cafe - Restaruant 21.93 05/30/2023 Union Bank (Credit Card) Plark PL Center - Conference room rental 450.00 05/30/2023 Union Bank (Credit Card) Park PL Center - Food for Committee Meetings 246.64 05/30/2023 Union Bank (Credit Card) Sonesta - Hotel for Patty Cruz, Analyst 218.19 05/30/2023 Union Bank (Credit Card) Panini Kabob Grill - Restaurant Board Members 68.92 05/30/2023 Union Bank (Credit Card) Plark PL Center - Conference room rental 450.00 05/30/2023 Union Bank (Credit Card) Park PL Center - Food for Committee Meetings 418.67 05/30/2023 Union Bank (Credit Card) EB Third Annual Three & Summit - Andrea Warner's Ticket 55.20 05/30/2023 Union Bank (Credit Card) Southwest refund extra seat (414.96) 05/31/2023 Constellation Energy Generation, LLC April energy purchases 3,239,046.00 05/31/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 75.40 05/31/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 100.00 05/31/2023 Southern California Edison Collateral (to be returned June 2023) 1,410,000.00 06/01/2023 3349 Michelson Drive Irvine LLC Parking {po: 1015} 160.00 06/01/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 2,650.18 06/02/2023 LBA IV-PPI, LLC June Rent 19,000.00
06/02/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 432.50 06/02/2023 Pacific Energy Advisors Inc. April 2023 - Monthly Services {po: 1008} 37,500.00 06/02/2023 US Bank Interest and Service Charges Letter of Credit fees 150.00 06/05/2023 Energy Development & Construction Corporation March RECs purchases 69,408.00 06/05/2023 San Diego Gas & Electric August 2023 Energy Prepayment 6,120,051.00 06/05/2023 Southern California Edison February 2023 REC's 910,686.15 06/07/2023 Best Best & Krieger April 2023 - Financial/Power Procurement {po: 1002} 13,469.50 06/07/2023 Best Best & Krieger April 2023 - Labor & Employment {po: 1002} 1,953.00 06/07/2023 Best Best & Krieger April 2023 - County Withdrawal {po: 1002} 5,132.50 06/07/2023 Best Best & Krieger April 2023 - General Counsel {po: 1002} 26,934.92 06/07/2023 Best Best & Krieger April 2023 - Regulatory - CPUC {po: 1002} 13,209.00 06/07/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 890.00 06/07/2023 Integrated Impressions Promotions and branding expense 4,999.52 06/07/2023 Littler Mendelson, PC April legal services {po: 1016} 11,563.80 06/07/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 388.40 06/07/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 703.09 06/09/2023 Brian Probolsky Severance payment 161,651.25 06/09/2023 Executive Law Group, Inc. Legal fees 7,500.00 06/09/2023 Lincoln Financial Group 6/9/23 Retirement debit 457B 19,985.12 06/09/2023 Lincoln Financial Group 6/9/23 Retirement debit 401A 22,072.77 06/09/2023 METHOD TECHNOLOGIES (INC) Support Options - MS Suite and other software {po: 1017} 1,812.45 06/09/2023 Powerex May RECs purchase 44,014.25
06/12/2023 CITY OF BUENA PARK - UUT May Utility User Tax 60,860.66 06/12/2023 CITY OF HUNTINGON BEACH - UUT May Utility User Tax 195,469.33 06/12/2023 CITY OF IRVINE - UUT May Utility User Tax 96,742.82 06/13/2023 SDRMA July employee benefit charges 16,508.87 06/15/2023 Constellation Energy Generation, LLC May energy purchases 3,166,010.40 06/15/2023 Morgan Stanley Capital Group May Energy Purchases 1,555,528.10 06/15/2023 Shell Energy North America April Capacity Purchases 196,000.00 06/15/2023 Shell Energy North America April Energy Purchases 5,500,296.00 06/15/2023 Sunrise Power Company LLC May capacity purchase 1,906,250.00 06/15/2023 Transalta Energy Marketing Us Inc. May Energy Purchases 1,425,014.10 06/20/2023 AES May 2023 capacity purchases 562,500.00
06/20/2023 Baker Tilly US, LLP, formerly Management Partners Inc May 2023 - Management Services {po: 1013} 357.50 06/20/2023 California Community Choice Association Cal CCA 14 Tickets Annual Meeting Registration Sales 10,500.00 06/20/2023 California ISO (Settlement Invoices) CAISO Energy Settlement Payable from 5/1/23-5/31/23 & 6/1/23 5,071.13 06/20/2023 Equus Energy Group LLC March broker fees - Counter Party Terra-Gen LLC 20,425.00 06/20/2023 Marsh Landing, LLC May Capacity Purchases 685,475.00 06/20/2023 Orange County Printing Company Pre-Enrollment Notice {po: 1007} 3,436.29 06/20/2023 Powerex June Energy Purchases 79,166.67
06/20/2023 San Diego Gas & Electric May 2023 REC (LT/ST) Sales 11,874.11 06/20/2023 Southern California Edison May Capacity 176,029.80 06/20/2023 The Energy Authority Inc. (CAISO and ENERGY) CAISO period 5/25/23-6/01/23 & period 2/24/23-3/02/23 33,405.20 06/21/2023 Lincoln Financial Group 6/21/23 Retirement debit 457B 5,434.74 06/21/2023 Lincoln Financial Group 6/21/23 Retirement debit 401A 13,743.80 06/22/2023 Golden Communications Inc Sustaining Professional Services and Consulting Fees, Monthly Managed Web Services, and Additional Labor - May 2023 {po: 1004} 11,199.00 06/22/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 300.00 06/22/2023 NewGen Strategies & Solutions, LLC May 2023 - Financial & Economic Consulting services {po: 1006} 12,686.25 06/23/2023 Calpine Energy Services L.P. May Capacity Purchases 204,750.00 06/26/2023 Balance Public Relations Inc. May 2023 - Consulting and lobby services {po: 1014} 13,500.00 06/26/2023 Balance Public Relations Inc. June 2023 - Consulting and lobby services {po: 1014} 13,500.00 06/26/2023 Best Best & Krieger May 2023 - General Counsel {po: 1002} 5,411.50 06/26/2023 Best Best & Krieger May 2023 - General Counsel {po: 1002} 118.50 06/26/2023 Best Best & Krieger May 2023 - General Counsel {po: 1002} 3,932.50 06/26/2023 Best Best & Krieger May 2023 - REGULATORY - CPUC {po: 1002} 12,622.75 06/26/2023 Best Best & Krieger May 2023 - General Counsel {po: 1002} 6,122.50 06/26/2023 Best Best & Krieger May 2023 - General Counsel {po: 1002} 1,795.50 06/26/2023 Best Best & Krieger May 2023 - General Counsel {po: 1002} 18,223.76 06/26/2023 Southern California Edison Collateral 250,000.00 06/27/2023 960 CoolOC Gold Sponsorship of the 2023 Cool Irvine Sustainability Fair 500.00 06/27/2023 Calpine Energy Solutions May 2023 services {po:1003} 199,667.66 06/27/2023 Cruz, Patricia expense reimbursement 330.85
06/27/2023 Halligan Steven mileage reimbursement 128.51 06/27/2023 Maher Accountancy June 2023 - Treasurer and Accounting Services {PO:1005} 18,000.00 06/27/2023 Maher Accountancy Bill.com cloud based accounts payable and document management system {PO:1005} 1,014.52 06/27/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 308.24 06/27/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 441.53 06/27/2023 Orange County Printing Company Pre-Enrollment Notice {po: 1007} 429.07 06/27/2023 Orange County Printing Company Post-Enrollment Notice {po: 1007} 1,124.61 06/27/2023 Pacific Energy Advisors Inc. May 2023 - Monthly Services {po: 1008} 37,500.00 06/27/2023 Reveille Inc. OCPA Professional Services through May 31, 2023 -- {po: 1010} 40,787.62 06/27/2023 The Energy Authority Inc. (Service Fees) May- Resource Management Monthly Fees {PO:1011} 14,620.00 06/27/2023 Zodiac Solutions, LLC May 2023 Fees {po: 1012} 5,025.00 06/28/2023 Wregis RECs expenses 795.16
06/29/2023 Igoe (Med-iBank) Medical and/or Dependent Care FSA Monthly Participation Fee 100.00 06/30/2023 Energy Development & Construction Corporation April RECs purchases 51,426.00 06/30/2023 San Diego Gas & Electric September 2023 Energy Prepayment 5,220,000.00 06/30/2023 US Bank Interest and Service Charges Letter of Credit fees 563.50 06/30/2023 US Bank Interest and Service Charges Letter of Credit fees 1,516.67 06/30/2023 US Bank Interest and Service Charges Letter of Credit fees 4,591.13 06/30/2023 US Bank Interest and Service Charges Letter of Credit fees 9,847.55 06/30/2023 US Bank Interest and Service Charges Letter of Credit fees 9,903.63 SUBTOTAL 69,371,711.96
04/05/2023 March 16 - March 31 -Paychex Service Fee 162.50 04/05/2023 March 16 - March 31 - Payroll Taxes 12,387.77 04/05/2023 March 16 - March 31 -Salaries, Wages, Fringe Benefits 46,771.07 04/20/2023 April 1 - April 15 -Paychex Service Fee 303.35 04/20/2023 April 1 - April 15 - Payroll Taxes 12,790.63 04/20/2023 April 1 - April 15 -Salaries, Wages, Fringe Benefits 48,612.25 05/05/2023 April 16 - April 30 -Salaries, Wages, Fringe Benefits 61,432.75 05/05/2023 April 16 - April 30 -Paychex Service Fee 170.40 05/05/2023 April 16 - April 30 - Payroll Taxes 19,026.19 05/19/2023 May 1 - May 15 -Paychex Service Fee 307.30
05/19/2023 May 1 - May 15 - Payroll Taxes 14,928.57
05/19/2023 May 1 - May 15 -Salaries, Wages, Fringe Benefits 53,241.22 06/05/2023 May 16 - May 31 -Salaries, Wages, Fringe Benefits 54,478.29 06/05/2023 May 16 - May 31 -Paychex Service Fee 236.70
06/05/2023 May 16 - May 31 - Payroll Taxes 17,009.08
06/12/2023 May 31 Special Payroll - Payroll Taxes 110,445.77 06/12/2023 May 31 Special Payroll -Salaries, Wages, Fringe Benefits 184,407.69 06/20/2023 June 1 - June 15 -Paychex Service Fee 574.50 06/20/2023 June 1 - June 15 - Payroll Taxes 13,874.26
06/20/2023 June 1 - June 15 -Salaries, Wages, Fringe Benefits 48,687.65 SUBTOTAL 699,847.94
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 10.3
-------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Subject: RISK OVERSIGHT COMMITTEE UPDATE
Date: September 13, 2023
--------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Receive and File.
BACKGROUND
The Risk Oversight Committee (ROC) was established via the Board-adopted Energy Risk Management Policy (Policy No. 11). Per the policy, members of the ROC will be selected by the Chief Executive Officer, who will serve as the ROC’s Chair. The ROC currently consists of the CEO, CFO, Pacific Energy Advisors (PEA) representatives, and transactional counsel from the Authority’s contracted law firm.
The ROC has the authority to:
• Meet at least once per quarter or as otherwise called to order by the ROC’s Chair. • No less than once per quarter, provide a report to the Board regarding its meetings, deliberations, and any other areas of concern.
• From time to time, adopt and/or adapt risk management guidelines defining internal controls, strategies, and processes for managing market risks incurred through or attendant upon wholesale trading, retail marketing, long-term contracting, CRR trading, and load and generation scheduling.
• Specify the categories of permitted transactions and set risk limits for wholesale trading.
The ROC will receive and review information and reports regarding risk management, wholesale trading transactions, and the administration of supply contracts. • Have direct responsibility for enforcing compliance with this Policy. Any material violations of this Policy, as determined by the ROC, shall be reported to the Board for appropriate action.
As part of its recent audit of OCPA, the State Auditor recommended that the Board consider amending the Energy Risk Management Policy (Policy No. 11) to alter the membership of the ROC to include a limited subset of Board members in a manner that does not violate open meeting requirements of the Brown Act. Following review and discussion with the Interim General
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 10.3
Counsel, it was determined that formally adding Board members to the ROC through an amendment to the Energy Risk Management Policy would make the ROC meetings subject to the Brown Act, which is incompatible with the ROC’s responsibilities for reviewing and analyzing market-sensitive information and prospective transactions, substantial aspects of which are confidential under CPUC rules and best practices for CCAs. As an alternative, the CEO has initiated a practice of inviting the Board Chair and Vice Chair to ROC meetings to observe. This is intended to provide additional Board oversight of the ROC without making Board members official members of the ROC under the Energy Risk Management Policy. This practice was initiated with the April 3, 2023 meeting and will continue for future meetings.
ANALYSIS AND DISCUSSION
The Risk Oversight Committee (ROC) met on July 20, 2023, at 10:00 AM. Attendees included Joe Mosca Interim CEO, Tiffany Law CFO, PEA consultants Kirby Dusel and John Dalessi, Glen Price of Best, Best & Krieger. Fred Jung, Chair of the Board of Directors and Kathleen Treseder, Vice Chair of the Board of Directors observed the meeting.
The ROC discussed the following:
• Role of the ROC
• Q3 2023 Risk Management Report Hedge Positions
o Renewable Energy Positions
o RPS Compliance for Period 4 (CP4)
o Resource Adequacy Positions
o Market Exposure and Risk
o Counterparty Credit Exposure
• Position Reports
There are no Policy violations to report.
The next ROC meeting will take place on October 5, 2023, and the final ROC meeting for the year will take place on December 7, 2023.
FISCAL IMPACT
None
ATTACHMENTS
None
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 10.4
--------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Nicholaus Norvell, Interim General Counsel
Subject: PUBLIC RECORDS ACT REPORT
Date: September 13, 2023
---------------------------------------------------------------------------------------------------------------------
RECOMMENDATION
Receive and file.
BACKGROUND
As part of its February 2023 report, the State Auditor recommended that OCPA report to the Board of Directors no less than quarterly on: (1) the number of public records requests received, closed, and pending; (2) the average time OCPA took to respond to those requests; and (3) the reasons for withholding or redacting requested records, if applicable. A previous report was provided at the May 17, 2023 meeting, covering the period January 1, 2023 through May 12, 2023.
Below is a report covering the period from May 13, 2023 through August 31, 2023.
Requests Received 8
Requests Closed 7
Requests Pending 1
Determination or Extension Letters
Provided within 10 Days
Yes
Average Calendar Days to Fully Complete
Closed Requests
13 Public Records Act Exemptions Applied
(Citations to Government Code unless otherwise noted)
• Personnel, medical, or similar files
(§ 7927.7003)
• Home addresses, home telephone
numbers, cell phone numbers, birth
dates of employees (§ 7928.300)
• Social security numbers (§ 7922.200)
• Attorney-client privilege and attorney
work product privilege (§ 7927.705,
Evidence Code § 954, Code of Civil
Procedure § 2018.030)
• Confidential market-sensitive energy
information/trade secrets (§ 7927.705
§ 7927.605, § 7922.005 Public
Utilities Code § 454.5, CPUC
Decisions/Rules, Civil Code § 3426.1,
§ 7922.000)
• Tax identification numbers and
banking information under catch-all
exemption (§ 7922.000)
55735.00001\41610132.1
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 10.5
--------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Subject: MARKETING, COMMUNICATIONS, STRATEGY, PUBLIC
ENGAGEMENT, DIGITAL AND GRAPHIC DESIGN CONTRACT
Date: September 13, 2023
---------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Approve First Amendment to Professional Services Agreement with Reveille for Marketing, Communications, Strategy, Public Engagement, Digital, and Graphic Design Services extending the initial term to two (2) years and establishing an updated not-to-exceed amount of $2,999,686, and authorize the Interim Chief Executive Officer or delegated staff to finalize and execute the First Amendment.
BACKGROUND
On May 17, 2023, following a competitive Request for Proposal (RFP) process for Marketing, Communications, Strategy, Public Engagement, Digital, and Graphic Design services, the OCPA Board approved a six-month agreement with Reveille with a not-to-exceed amount of $750,000, and continued further discussions on the award on the remainder of the contract to a future meeting. The current agreement runs from July 1, 2023 to December 31, 2023.
ANALYSIS AND DISCUSSION
On July 19, 2023, the Board continued its previous discussion on the award of the remainder of the contract for Marketing, Communications, Strategy, Public Engagement, Digital, and Graphic Design services and unanimously voted to award the contract to Reveille based on the results of the RFP process and directed OCPA staff to place an amendment to the contract on the September agenda. The proposed First Amendment would extend the term through June 30, 2025, with an option for three one-year extensions, and increase the not-to-exceed amount accordingly.
FISCAL IMPACT
The funding for this contract will be budgeted in the proposed FY2023/2024 budget. The contract will have a not-to-exceed amount of $1,499,843 per year and the term will be for two years with an option for three one-year extensions (see Attachment A: Draft Contract).
ATTACHMENTS
Attachment A: Proposed First Amendment
55735.00001\41610125.1
FIRST AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT BETWEEN ORANGE COUNTY POWER AUTHORITY AND REVEILLE, INC.
THIS FIRST AMENDMENT (“First Amendment”) is entered into on September __, 2023 (“Amendment Effective Date”), by and between the ORANGE COUNTY POWER AUTHORITY, a California joint powers authority (“OCPA”) and REVEILLE, INC., a California corporation (“Consultant”). OCPA and Consultant are sometimes individually referred to herein as the “Party” and collectively as the “Parties.”
RECITALS
A. The Parties entered into that certain Professional Services Agreement between OCPA and Consultant, dated June 1, 2023 (“Agreement”).
B. Pursuant to the Agreement, Consultant provides marketing, communications, strategy, public engagement, and digital and graphic design services to Authority.
C. The Parties desire to amend the Agreement to extend the Term of the Agreement and increase the not-to-exceed amount payable to Consultant through the extended Term.
AGREEMENT
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, it is agreed by and between the Parties as follows:
1. Amendment of Section 1.2. Section 1.2 of the Agreement is amended to extend the initial term of the Agreement through June 30, 2025. The term may be extended as provided therein.
2. Amendment of Section 3.1. Section 3.1 of the Agreement is amended to increase the not-to-exceed amount payable by the Authority to Consultant for Consultant’s services to Two Million, Nine Hundred and Ninety-Nine Thousand, Six Hundred and Eighty-Six Dollars ($2,999,686).
3. Exhibit B. Exhibit B of the Agreement is amended to increase the not-to-exceed amount to Two Million, Nine Hundred and Ninety-Nine Thousand, Six Hundred and Eighty-Six Dollars ($2,999,686).
4. Capitalized Terms. Any capitalized terms not defined herein shall have the meanings set forth in the Agreement.
5. Counterparts. This Amendment may be executed in two or more counterparts, including facsimile counterparts, each of which shall, for all purposes, be deemed an original and all such counterparts, taken together, shall constitute one and the same instrument. 55735.00001\41610125.1
6. Full Force. Except as expressly set forth herein, the Agreement shall remain unmodified and in full force and effect.
IN WITNESS WHEREOF, the Parties have executed this First Amendment to the Professional Services Agreement between Orange County Power Authority and Reveille, Inc., as of the date first set forth above.
ORANGE COUNTY POWER AUTHORITY
Name: _______________________________
Title:________________________________
Date: ________________________________
REVEILLE, INC.
Name: _____________________________
Title: ______________________________
Date: ______________________________
APPROVED AS TO FORM:
_________________________________
General Counsel
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 11.1
--------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Kirby Dusel, Consultant, Pacific Energy Advisors
Subject: OCPA’S ANNUAL POWER SOURCE DISCLOSURE ATTESTATION FOR 2022
Date: September 13, 2023
---------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Based on the comprehensive portfolio review completed by OCPA’s consultants and staff, it is recommended that the Board endorse the accuracy of information presented in OCPA’s 2022 Power Source Disclosure reports for Basic Choice, Smart Choice and 100% Renewable Choice service as well as the related Power Content Label reflecting such products.
BACKGROUND
California Public Utilities Code requires all retail sellers of electric energy, including OCPA, to disclose “accurate, reliable, and simple to understand information on the sources of energy, and the associated emissions of greenhouse gasses, that are used to provide electric services.”1 Applicable regulations direct retail sellers to provide such communications to customers following each year of operation. The format for this communication, named the Power Content Label (PCL) by the California Energy Commission (CEC), is highly prescriptive, offering little flexibility to retail sellers when presenting such information to customers. Similar to the presentation of information on a nutritional label, the PCL informs retail electricity customers of the power sources that were procured to serve their electric energy needs. Prior to distributing the PCL to its customers, OCPA will annually submit reports to the CEC detailing specified-source power purchases for each retail service offering that was made available during the previous year. These annual reports and the PCL are required elements of California’s Power Source Disclosure Program (PSD Program); information reflected in each annual report is contributory to the PCL (with the power supply breakout reflected in each annual report inserted in OCPA’s PCL template).
Information presented in the PCL includes the proportionate share of total energy supply attributable to various resource types, including both renewable and conventional fuel sources. In the event that a retail seller meets a certain percentage of its resource needs from unspecified resources/purchases, the report must identify such purchases as “unspecified sources of power.” No such purchases are reflected in OCPA’s PCL.
During the 2022 calendar year, OCPA successfully delivered a substantial portion of its electric energy supply from various renewable energy sources, including wind, solar, geothermal and other California-eligible renewable energy resources – for Basic Choice customers, the percentage of supply attributable to renewable energy sources exceeded 62 percent (with the balance of Basic Choice supply sourced from zero-carbon sources like non-RPS-eligible hydroelectricity and nuclear power). Note that the reflection of 25.3% nuclear and 12.4% large hydroelectric supply 1 California Public Utilities Code Section 398.1(b)
within the Basic Choice portfolio relates to a “free” allocation of such supply from Southern California Edison’s supply portfolio. For the Smart Choice and 100% Renewable Choice retail service offerings, CEC-certified renewable resources were the exclusive sources of energy procured to serve participating customers. The following table reflects OCPA’s 2022 PCL, presented in the CEC’s required format.
Consistent with applicable regulations, OCPA will complete requisite customer communications following your Board’s approval of pertinent information to be included in the 2022 PCL.
According to recent guidance provided by the CEC, OCPA’s 2022 PCL must be posted to its website no later than October 1, 2023 with customer mailers distributed by the end of the calendar year.
ANALYSIS
While preparing OCPA’s 2022 annual PSD reports and PCL, staff and consultants performed a detailed review of all power purchases completed for the 2022 calendar year. This review included an inventory of all renewable energy credit transfers within OCPA’s Western Renewable Energy Generation Information System (WREGIS) account, related contract documents and pertinent transaction records associated with other specified energy purchases. Based on the review completed by OCPA’s consultants and staff, the information presented in the annual reports and PCL was determined to be accurate.
To fulfill its obligations under the PSD Program, OCPA must also provide the CEC with an attestation of its Governing Board regarding the accuracy of information included in its PSD 2022 POWER CONTENT LABEL
Orange County Power Authority
https://www.ocpower.org/resources/key-documents/
Greenhouse Gas Emissions Intensity
(lbs CO2e/MWh) Energy Resources
2022 OCPA
Basic
Choice
Power Mix
2022 OCPA
Smart
Choice
Power Mix
2022 OCPA
100%
Renewable
Choice
Power Mix
2022 CA
Power Mix
Eligible Renewable1 62.3% 100.0% 100.0% 35.8%
Biomass & Biowaste 19.5% 1.5% 0.0% 2.1%
503 150 0 422 Geothermal 0.0% 79.9% 0.0% 4.7%
Eligible Hydroelectric 0.0% 0.0% 6.7% 1.1%
Solar 0.0% 12.1% 71.5% 17.0%
Wind 42.8% 6.4% 21.8% 10.8%
Coal 0.0% 0.0% 0.0% 2.1%
Large Hydroelectric 12.4% 0.0% 0.0% 9.2%
Natural Gas 0.0% 0.0% 0.0% 36.4%
Nuclear 25.3% 0.0% 0.0% 9.2%
Other 0.0% 0.0% 0.0% 0.1%
Unspecified Power2 0.0% 0.0% 0.0% 7.1%
TOTAL 100.0% 100.0% 100.0% 100.0%
Percentage of Retail Sales Covered by Retired Unbundled RECs3 : 0% 0% 0%
1 The eligible renewable percentage above does not reflect RPS compliance, which is determined using a different methodology. 2 Unspecified power is electricity that has been purchased through open market transactions and is not traceable to a specific generation source. 3 Renewable energy credits (RECs) are tracking instruments issued for renewable generation. Unbundled renewable energy credits (RECs) represent renewable generation that was not delivered to serve retail sales. Unbundled RECs are not reflected in the power mix or GHG emissions intensities above.
For specific information about this electricity portfolio, contact: Orange County Power Authority 1 (866) 262-7693
For general information about the Power Content Label, visit: https://www.energy.ca.gov/programs-and-topics/programs/power-source-disclosure-program 2022 OCPA 100%
Renewable Choice
Power Mix
2022 OCPA Basic
Choice Power Mix
2022 OCPA Smart
Choice Power Mix
2022 CA Utility
Average
0 200
400
600
800
1000 2022 OCPA Basic Choice
Power Mix
2022 OCPA Smart Choice
Power Mix
2022 OCPA 100%
Renewable Choice Power
Mix
reports and PCL for the 2022 operating year. With regard to this internally administered attestation process, applicable regulations state2
:
A retail supplier that is a public agency providing electric services is not required to comply with the provisions of subdivision (a)(1) if the board of directors of the public agency submits to the Energy Commission an attestation of the veracity of each annual report and power content label for the previous year.
Evidence of OCPA’s attestation must be provided to the CEC no later than October 1st.
In consideration of OCPA’s internal review and applicable regulations, staff requests that your Board accept this determination of informational accuracy and, based on this staff-level determination and related recommendation, attest to the accuracy of information included in OCPA’s 2022 Power Source Disclosure reports and PCL. Should your Board endorse staff’s recommendation, a copy of: 1) this staff report; 2) meeting minutes for today’s Board Meeting; and 3) a copy of OCPA’s completed 2022 PCL template (in both Excel and PDF formats) will be forwarded to the CEC, thereby completing OCPA’s obligations under the PSD Program for the 2022 calendar year.
FISCAL IMPACT
Other than the typical cost of producing and distributing Power Content Labels to OCPA customers, there are no expected fiscal impacts.
ATTACHMENTS
1) OCPA’s 2022 Power Content Label (Required CEC format) 2) OCPA’s 2022 Power Source Disclosure Report for 100% Renewable Choice 3) OCPA’s 2022 Power Source Disclosure Report for Smart Choice 4) OCPA’s 2022 Power Source Disclosure Report for Basic Choice 2 Note that Section 1393.2.(a)(1), as referenced in the excerpt from applicable PSD regulations, refers to the completion of annual independent audits.
2022 POWER CONTENT LABEL
Orange County Power Authority
https://www.ocpower.org/resources/key-documents/
Greenhouse Gas Emissions Intensity
(lbs CO2e/MWh) Energy Resources
2022 OCPA
Basic
Choice
Power Mix
2022 OCPA
Smart
Choice
Power Mix
2022 OCPA
100%
Renewable
Choice
Power Mix
2022 CA
Power Mix
Eligible Renewable1 62.3% 100.0% 100.0% 35.8%
Biomass & Biowaste 19.5% 1.5% 0.0% 2.1%
503 150 0 422 Geothermal 0.0% 79.9% 0.0% 4.7%
Eligible Hydroelectric 0.0% 0.0% 6.7% 1.1% Solar 0.0% 12.1% 71.5% 17.0% Wind 42.8% 6.4% 21.8% 10.8% Coal 0.0% 0.0% 0.0% 2.1% Large Hydroelectric 12.4% 0.0% 0.0% 9.2% Natural Gas 0.0% 0.0% 0.0% 36.4% Nuclear 25.3% 0.0% 0.0% 9.2% Other 0.0% 0.0% 0.0% 0.1% Unspecified Power2 0.0% 0.0% 0.0% 7.1% TOTAL 100.0% 100.0% 100.0% 100.0%
Percentage of Retail Sales Covered by Retired Unbundled RECs3: 0% 0% 0% 1The eligible renewable percentage above does not reflect RPS compliance, which is determined using a different methodology. 2Unspecified power is electricity that has been purchased through open market transactions and is not traceable to a specific generation source. 3Renewable energy credits (RECs) are tracking instruments issued for renewable generation. Unbundled renewable energy credits (RECs) represent renewable generation that was not delivered to serve retail sales. Unbundled RECs are not reflected in the power mix or GHG emissions intensities above.
For specific information about this electricity portfolio, contact: Orange County Power Authority 1 (866) 262-7693 For general information about the Power Content Label, visit: https://www.energy.ca.gov/programs‐and‐topics/programs/power‐source‐ disclosure‐program 2022 OCPA 100%
Renewable Choice
Power Mix
2022 OCPA Basic
Choice Power Mix
2022 OCPA Smart
Choice Power Mix
2022 CA Utility
Average
0 200400600800
1000
2022 OCPA Basic Choice
Power Mix
2022 OCPA Smart Choice
Power Mix
2022 OCPA 100% Renewable
Choice Power Mix
2022 CA Utility Average
Version: April 2023
CONTACT INFORMATION
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
For the Year Ending December 31, 2022
RETAIL SUPPLIER NAME
Orange County Power Authority
ELECTRICITY PORTFOLIO NAME
100% Renewable Choice
Retail suppliers are required to use the posted template and are not allowed to make edits to this format. Please complete all requested information.
GENERAL INSTRUCTIONS
NAME Brian Probolsky
TITLE Chief Executive Officer
MAILING ADDRESS P.O. Box 54283
CITY, STATE, ZIP Irvine, CA 92619
PHONE (949) 767-8700
EMAIL [email protected]
If you have questions, contact Power Source Disclosure (PSD) staff at [email protected] or (916) 639-0573.
NOTE: Information submitted in this report is not automatically held confidential. If your company wishes the information submitted to be considered confidential an authorized representative must submit an application for confidential designation (CEC-13), which can be found on the California Energy Commissions's website at https://www.energy.ca.gov/about/divisions-and-offices/chief-counsels-office.
WEBSITE URL FOR
PCL POSTING https://www.ocpower.org/resources/key-documents/ Submit the Annual Report and signed Attestation in PDF format with the Excel version of the Annual Report to [email protected]. Remember to complete the Retail Supplier Name, Electricity Portfolio Name, and contact information above, and submit separate reports and attestations for each additional portfolio if multiple were offered in the previous year.
Version: April 2023
1,088,053
1,088,053
-
0 -
-
1,088,053
0 0.0000
DIRECTLY DELIVERED RENEWABLES
Facility Name Fuel Type
State or
Province WREGIS ID RPS ID N/A EIA ID
Gross MWh
Procured
MWh
Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions (in
MT CO2e) N/A
Agua Caliente Solar - Block 1 Solar AZ W2427 60894A 57373 13,577 - 13,577 - 13,577 - Agua Caliente Solar - Block 10 Solar AZ W3621 60894A 57373 11,404 - 11,404 - 11,404 - Agua Caliente Solar - Block 11 Solar AZ W3829 60894A 57373 11,404 - 11,404 - 11,404 - Agua Caliente Solar - Block 12 Solar AZ W3953 60894A 57373 5,132 - 5,132 - 5,132 - Agua Caliente Solar - Block 2 Solar AZ W2576 60894A 57373 13,577 - 13,577 - 13,577 - Agua Caliente Solar - Block 3 Solar AZ W2668 60894A 57373 13,577 - 13,577 - 13,577 - Agua Caliente Solar - Block 4 Solar AZ W2782 60894A 57373 9,694 - 9,694 - 9,694 - Agua Caliente Solar - Block 5 Solar AZ W2838 60894A 57373 13,685 - 13,685 - 13,685 - Agua Caliente Solar - Block 6 Solar AZ W2844 60894A 57373 11,067 - 11,067 - 11,067 - Agua Caliente Solar - Block 7 Solar AZ W2925 60894A 57373 6,667 - 6,667 - 6,667 - Agua Caliente Solar - Block 8 Solar AZ W3240 60894A 57373 9,972 - 9,972 - 9,972 - Agua Caliente Solar - Block 9 Solar AZ W2812 60894A 57373 8,555 - 8,555 - 8,555 - Alta Powerhouse Eligible hydro CA W335 60033A 214 360 - 360 - 360 - Alta Wind I Wind CA W1727 60794A 57282 14,400 - 14,400 - 14,400 - Alta Wind X, LLC Wind CA W3537 62244A 58394 24,000 - 24,000 - 24,000 - American Kings Solar Project - American Kings Solar ProjecSolar CA W11005 61600A 60777 9,000 - 9,000 - 9,000 - Aquamarine Westside, LLC (Phase 2) - Aquamarine WestsidSolar CA W12582 64553A 62547 15,859 - 15,859 - 15,859 - AV Solar Ranch 1, LLC - Antelope Solar Ranch - Block 7 Solar CA W3474 60790A 57378 7,558 - 7,558 - 7,558 - AV Solar Ranch 1, LLC - AVSR1 - Antelope Solar Ranch - BSolar CA W4141 60790A 57378 22,957 - 22,957 - 22,957 - AV Solar Ranch 1, LLC - AVSR1 - Antelope Solar Ranch - BSolar CA W2803 60790A 57378 14,636 - 14,636 - 14,636 - AV Solar Ranch 1, LLC - AVSR1 - Antelope Solar Ranch - BSolar CA W3274 60790A 57378 16,467 - 16,467 - 16,467 - AV Solar Ranch 1, LLC - AVSR1 - Antelope Solar Ranch - BSolar CA W3275 60790A 57378 5,140 - 5,140 - 5,140 - AV Solar Ranch 1, LLC - AVSR1 - Antelope Solar Ranch - BSolar CA W3280 60790A 57378 4,233 - 4,233 - 4,233 - AV Solar Ranch 1, LLC - AVSR1 - Antelope Solar Ranch - BSolar CA W3849 60790A 57378 13,664 - 13,664 - 13,664 - Big Creek Hydro Project - Big Creek Water Works Eligible hydro CA W1586 60900A 10282 1,012 - 1,012 - 1,012 - Blythe Solar II, LLC - Blythe Solar II, LLC - Block 4 Solar CA W5072 63129A 60092 4,800 - 4,800 - 4,800 - Blythe Solar II, LLC - Blythe Solar II, LLC - Block 5 Solar CA W5073 63129A 60092 5,000 - 5,000 - 5,000 - Blythe Solar II, LLC - Blythe Solar II, LLC - Block 6 Solar CA W5222 63129A 60092 4,700 - 4,700 - 4,700 - Blythe Solar II, LLC - Blythe Solar II, LLC - Block 7 Solar CA W5248 63129A 60092 3,800 - 3,800 - 3,800 - Buena Vista Energy Windfarm - Buena Vista Energy WindfaWind CA W165 60124A 56446 11,326 - 11,326 - 11,326 - Cabazon Wind Partners - Cabazon Wind Partners Wind CA W834 60736A 56011 9,939 - 9,939 - 9,939 - CalRENEW-1 - CalRENEW-1 Solar CA W1519 60475A 56768 69 - 69 - 69 - Cape Scott Wind - Cape Scott Wind Wind BC W3959 60600A P149 245 - 245 - 245 - CED Corcoran - CED Corcoran Solar CA W3408 60948A 60450 5,007 - 5,007 - 5,007 - CM10 - CM10 Solar NV W883 60713A 56944 1,864 - 1,864 - 1,864 - CM48 - CM48 Solar NV W1460 60786A 57205 19,496 - 19,496 - 19,496 - Coleman Powerhouse - Coleman Powerhouse Eligible hydro CA W347 60037A 227 3,303 - 3,303 - 3,303 - Coram Energy LLC (4.5MW) - Coram Energy LLC (4.5MW) Wind CA W4886 63222A 54299 154 - 154 - 154 - Coram Tehachapi, L.P. - Coram Tehachapi, L.P. Wind CA W4897 63223A 54750 570 - 570 - 570 - Deer Creek Powerhouse - Deer Creek Powerhouse Eligible hydro CA W350 60040A 233 263 - 263 - 263 - Desert Sunlight 250 - Desert Sunlight 250, Block 12 Solar CA W3965 60940A 58542 5,200 - 5,200 - 5,200 - Desert Sunlight 250 - Desert Sunlight 250, Block 13 Solar CA W3966 60940A 58542 5,200 - 5,200 - 5,200 - Desert Sunlight 250 - Desert Sunlight 250, Block 14 Solar CA W4097 60940A 58542 3,500 - 3,500 - 3,500 - Desert Sunlight 250 - Desert Sunlight 250, Block 15 Solar CA W4098 60940A 58542 1,800 - 1,800 - 1,800 - Desert Sunlight 250 - Desert Sunlight 250, Block 18 Solar CA W4189 60940A 58542 3,900 - 3,900 - 3,900 - Desert Sunlight 250 - Desert Sunlight 250, Block 19 Solar CA W4453 60940A 58542 3,300 - 3,300 - 3,300 - Desert Sunlight 250 - Desert Sunlight 250, Blocks 16, 17, 20Solar CA W3884 60940A 58542 10,200 - 10,200 - 10,200 - DESERT SUNLIGHT 300, LLC - DSL-BLK01 - 04 Solar CA W3793 61068A 57993 33,170 - 33,170 - 33,170 - DESERT SUNLIGHT 300, LLC - DSL-BLK05 & 06 Solar CA W3798 61068A 57993 10,865 - 10,865 - 10,865 - DESERT SUNLIGHT 300, LLC - DSL-BLK07 & 08 Solar CA W3800 61068A 57993 5,232 - 5,232 - 5,232 - DESERT SUNLIGHT 300, LLC - DSL-BLK09 Solar CA W3801 61068A 57993 5,436 - 5,436 - 5,436 - DESERT SUNLIGHT 300, LLC - DSL-BLK10 & 11 Solar CA W3783 61068A 57993 10,863 - 10,863 - 10,863 - Dillon - Dillon Wind LLC Wind CA W728 60542A 56791 8,500 - 8,500 - 8,500 - Dokie Wind - Dokie Wind Wind BC W1992 61360A P150 118 - 118 - 118 - Dutch Flat No. 1 Powerhouse - Dutch Flat No. 1 PowerhouseEligible hydro CA W352 60042A 237 15,278 - 15,278 - 15,278 - Elevation Solar C - Elevation Solar C Solar CA W5298 63192A 59964 24,002 - 24,002 - 24,002 - FPL Energy Montezuma Wind - FPL Energy Montezuma Wi Wind CA W1745 60543A 57201 19,042 - 19,042 - 19,042 - GENESIS SOLAR, LLC - SGN-1 Solar CA W3790 60605A 57394 34,312 - 34,312 - 34,312 - GENESIS SOLAR, LLC - SGN2 Solar CA W3791 60605A 57394 34,312 - 34,312 - 34,312 - Hat Creek No. 1 Powerhouse - Hat Creek No. 1 PowerhouseEligible hydro CA W355 60045A 243 1,250 - 1,250 - 1,250 - Hat Creek No. 2 Powerhouse - Hat Creek No. 2 PowerhouseEligible hydro CA W356 60046A 244 3,078 - 3,078 - 3,078 - Haypress Hydroelectric (Lwr) - Haypress Hydroelectric (Lwr) Eligible hydro CA W601 60157A 10253 4,758 - 4,758 - 4,758 - Haypress Hydroelectric (Mddl) - Haypress Hydroelectric (MdEligible hydro CA W602 60158A 10253 5,276 - 5,276 - 5,276 - Hayworth Solar - Hayworth Solar Solar CA W4719 62744A 59009 15,766 - 15,766 - 15,766 - Meikle Wind - Meikle Wind Wind BC W5189 63268A P151 237 - 237 - 237 - Mesquite Solar 3, LLC - Mesquite Solar 3 (1) Solar AZ W4959 62897A 60308 42,583 - 42,583 - 42,583 - Mojave Solar Project - Mojave Solar Project - Alpha Solar CA W4255 60848A 57331 33,158 - 33,158 - 33,158 - Mojave Solar Project - Mojave Solar Project - Beta Solar CA W4450 60848A 57331 33,158 - 33,158 - 33,158 - Moose Lake Wind - Moose Lake Wind Wind BC W7518 64287A P152 120 - 120 - 120 - Mustang Hills, LLC - Mustang Hills, LLC Wind CA W2482 61287A 57833 34,500 - 34,500 - 34,500 - Narrows No. 1 Powerhouse - Narrows No. 1 Powerhouse Eligible hydro CA W363 60052A 262 14,323 - 14,323 - 14,323 - Newcastle Powerhouse - Newcastle Powerhouse Eligible hydro CA W364 60053A 632 405 - 405 - 405 - Pennask Wind Farm - Pennask Wind Farm Wind BC W5499 64015A P153 184 - 184 - 184 - Phoenix Powerhouse - Phoenix Powerhouse Eligible hydro CA W366 60054A 264 416 - 416 - 416 - Quality Wind - Quality Wind Wind BC W3160 62247A P154 707 - 707 - 707 - RE Garland - Garland Solar CA W5001 62817A 60233 25,600 - 25,600 - 25,600 - Rising Tree Wind Farm LLC - Rising Tree Wind Farm LLC Wind CA W4444 62425A 57621 9,400 - 9,400 - 9,400 - Sand Drag - Sand Drag LLC Solar CA W2072 60914A 57361 3,444 - 3,444 - 3,444 - Shiloh Wind Project 2, LLC - Shiloh Wind Project 2, LLC Wind CA W811 60639A 56874 81,170 - 81,170 - 81,170 - Shinish Creek Wind Farm - Shinish Creek Wind Farm Wind BC W5500 64041A P160 178 - 178 - 178 - Silver State Solar Power South, Block 2 and 3 - Silver State Solar NV W4876 61050A 58644 11,500 - 11,500 - 11,500 - Silver State Solar Power South, LLC - Silver State Solar PowSolar NV W4829 61050A 58644 4,600 - 4,600 - 4,600 - Silver State Solar Power South, LLC - Silver State Solar PowSolar NV W4878 61050A 58644 6,300 - 6,300 - 6,300 - Silver State Solar Power South, LLC - Silver State Solar PowSolar NV W4947 61050A 58644 6,200 - 6,200 - 6,200 - Silver State Solar Power South, LLC - Silver State Solar PowSolar NV W4966 61050A 58644 4,900 - 4,900 - 4,900 - Silver State Solar Power South, LLC - Silver State Solar PowSolar NV W5063 61050A 58644 10,400 - 10,400 - 10,400 - Silver State Solar Power South, LLC - Silver State Solar PowSolar NV W5064 61050A 58644 100 - 100 - 100 - Solar Alpine LLC - Solar Alpine LLC Solar CA W2872 60755A 57295 21,214 - 21,214 - 21,214 - Solar Star California XIII, LLC - Quinto Solar Project Solar CA W4825 61362A 59339 32,000 - 32,000 - 32,000 - South Powerhouse - South Powerhouse Eligible hydro CA W370 60059A 280 1,140 - 1,140 - 1,140 - Spaulding No. 1 Powerhouse - Spaulding No. 1 PowerhouseEligible hydro CA W371 60060A 281 3,037 - 3,037 - 3,037 - Spaulding No. 2 Powerhouse - Spaulding No. 2 PowerhouseEligible hydro CA W372 60061A 282 1,600 - 1,600 - 1,600 - Spaulding No. 3 Powerhouse - Spaulding No. 3 PowerhouseEligible hydro CA W373 60062A 283 2,458 - 2,458 - 2,458 - Spring Gap Powerhouse - Spring Gap Powerhouse Eligible hydro CA W374 60063A 284 4,254 - 4,254 - 4,254 - Sun City Project LLC - Sun City Solar CA W2073 60913A 57360 2,880 - 2,880 - 2,880 - Sunshine Valley Solar - Sunshine Valley Solar Solar NV W8128 62772A 59826 10,000 - 10,000 - 10,000 - Three Forks Water Power Project - Three Forks Water PoweEligible hydro CA W758 60502A 54308 697 - 697 - 697 - Toadtown Powerhouse - Toadtown Powerhouse Eligible hydro CA W375 60064A 714 272 - 272 - 272 - Topaz Solar Farms LLC - Topaz 10-16 Solar CA W3226 61698A 57695 26 - 26 - 26 - Tule Wind, LLC - Tule Wind, LLC Wind CA W5902 63271A 57913 12,400 - 12,400 - 12,400 - Vaca Dixon Solar Station - Vaca Dixon Solar Station Solar CA W1455 60966A 57041 411 - 411 - 411 - Valentine Solar, LLC - Valentine Solar, LLC Solar CA W8806 63026A 62288 18,500 - 18,500 - 18,500 - Volta No. 2 Powerhouse - Volta No. 2 Powerhouse Eligible hydro CA W378 60067A 180 214 - 214 - 214 - GHG Emissions Intensity (in MT CO2e/MWh)
Net Specified Natural Gas
Net Specified Coal & Other Fossil Fuels
Net Specified Nuclear, Large Hydro, Renewables, and ACS Power GHG Emissions (excludes grandfathered emissions)
Retail Sales (MWh)
Net Specified Procurement (MWh)
Unspecified Power (MWh)
Procurement to be adjusted
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 1: PROCUREMENTS AND RETAIL SALES
For the Year Ending December 31, 2022
Orange County Power Authority
100% Renewable Choice
Instructions: Enter information about power procurements underlying this electricity portfolio for which your company is filing the Annual Report.
Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out. For EIA IDs for unspecified power or specified system mixes from asset-controlling suppliers, enter "Unspecified Power", "BPA", or "Tacoma Power" as applicable. For specified procurements of ACS power, use the ACS Procurement Calculator to calculate the resource breakdown comprising the ACS system mix. Procurements of unspecified power must not be entered as line items below; unspecified power will be calculated automatically in cell N9. Unbundled RECs must not be entered on Schedule 1; these products must be entered on Schedule 2. At the bottom portion of the schedule, provide the other electricity end-uses that are not retail sales including, but not limited to transmission and distribution losses or municipal street lighting. Amounts should be in megawatt-hours.
Version: April 2023
West Point Powerhouse - West Point Powerhouse Eligible hydro CA W379 60068A 291 3,430 - 3,430 - 3,430 - Western Antelope Blue Sky Ranch B - Western Antelope BluSolar CA W5300 61518A 59961 11,440 - 11,440 - 11,440 - Whitewater Hill Wind Partners - Whitewater Hill Wind PartneWind CA W835 60737A 56012 10,212 - 10,212 - 10,212 - Willow Springs 2 - Willow Springs 2 Solar CA W7213 62286A 60324 9,498 - 9,498 - 9,498 - Wise No. 1 Powerhouse - Wise No. 1 Powerhouse Eligible hydro CA W380 60069A 292 6,296 - 6,296 - 6,296 - - #N/A -
- #N/A -
FIRMED-AND-SHAPED IMPORTS
Facility Name Fuel Type
State or
Province WREGIS ID RPS ID
EIA ID of
REC
Source
EIA ID of
Substitute
Power
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e)
Eligible for
Grandfathered
Emissions?
- #N/A - No
SPECIFIED NON-RENEWABLE PROCUREMENTS
Facility Name Fuel Type
State or
Province N/A N/A N/A EIA ID
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e) N/A
- #N/A -
PROCUREMENTS FROM ASSET-CONTROLLING SUPPLIERS
Facility Name Fuel Type N/A N/A N/A N/A EIA ID
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e) N/A
#N/A -
#N/A -
#N/A -
#N/A -
END USES OTHER THAN RETAIL SALES MWh
Version: April 2023
-
RETIRED UNBUNDLED RECS
Facility Name Fuel Type
State or
Province RPS ID Total Retired (in MWh)
Total Retired Unbundled RECs
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 2: RETIRED UNBUNDLED RECS
For the Year Ending December 31, 2022
Orange County Power Authority
100% Renewable Choice
INSTRUCTIONS: Enter information about retired unbundled RECs associated with this electricity portfolio. Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out.
Version: April 2023
Adjusted Net
Procured (MWh)
Percent of Total
Retail Sales
Renewable Procurements 100.0% 1,088,053
Biomass & Biowaste 0.0% -
Geothermal 0.0% -
Eligible Hydroelectric 6.7% 73,120
Solar 71.5% 777,531
Wind 21.8% 237,402
Coal 0.0% -
Large Hydroelectric 0.0% -
Natural gas 0.0% -
Nuclear 0.0% -
Other 0.0% -
Unspecified Power 0.0% -
Total 100.0% 1,088,053
1,088,053
-
0.0%
Total Retail Sales (MWh)
GHG Emissions Intensity (converted to lbs CO2e/MWh)
Percentage of Retail Sales Covered by Retired Unbundled RECs
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 3: POWER CONTENT LABEL DATA
For the Year Ending December 31, 2022
Orange County Power Authority
100% Renewable Choice
Instructions: No data input is needed on this schedule. Retail suppliers should use these auto-populated calculations to fill out their Power Content Labels.
Version: April 2023
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
ATTESTATION FORM
For the Year Ending December 31, 2022
Orange County Power Authority
100% Renewable Choice
I, Brian Probolsky, Chief Executive Officer, declare under penalty of perjury, that the information provided in this report is true and correct and that I, as an authorized agent of the Orange County Power Authority, have authority to submit this report on the retail supplier's behalf. I further declare that all of the electricity claimed as specified purchases as shown in this report was sold once and only once to retail customers.
Name: Brian Probolsky
Representing (Retail Supplier): Orange County Power Authority Signature:
Dated: May 25, 2023
Executed at: Irvine, CA
Version: April 2023
CONTACT INFORMATION
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
For the Year Ending December 31, 2022
RETAIL SUPPLIER NAME
Orange County Power Authority
ELECTRICITY PORTFOLIO NAME
Smart Choice
Retail suppliers are required to use the posted template and are not allowed to make edits to this format. Please complete all requested information.
GENERAL INSTRUCTIONS
NAME Brian Probolsky
TITLE Chief Executive Officer
MAILING ADDRESS P.O. Box 54283
CITY, STATE, ZIP Irvine, CA 92619
PHONE (949) 767-8700
EMAIL [email protected]
If you have questions, contact Power Source Disclosure (PSD) staff at [email protected] or (916) 639-0573.
NOTE: Information submitted in this report is not automatically held confidential. If your company wishes the information submitted to be considered confidential an authorized representative must submit an application for confidential designation (CEC-13), which can be found on the California Energy Commissions's website at https://www.energy.ca.gov/about/divisions-and-offices/chief-counsels-office.
WEBSITE URL FOR
PCL POSTING https://www.ocpower.org/resources/key-documents/ Submit the Annual Report and signed Attestation in PDF format with the Excel version of the Annual Report to [email protected]. Remember to complete the Retail Supplier Name, Electricity Portfolio Name, and contact information above, and submit separate reports and attestations for each additional portfolio if multiple were offered in the previous year.
Version: April 2023
250,203
250,204
-
1 -
-
250,204
16,975
0.0678
DIRECTLY DELIVERED RENEWABLES
Facility Name Fuel Type
State or
Province WREGIS ID RPS ID N/A EIA ID
Gross MWh
Procured
MWh
Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions (in
MT CO2e) N/A
Ameresco Johnson Canyon Biomass & biowasCA W3397 61353A 58397 698 - 698 0.5559 698 388 Ameresco Keller Canyon Biomass & biowasCA W2071 61298A 56897 1,047 - 1,047 0.0028 1,047 3 Ameresco San Joaquin Biomass & biowasCA W3883 62433A 58436 1,712 - 1,712 0.0028 1,712 5 Ameresco Santa Cruz Energy - Santa Cruz Biomass & biowasCA W2014 61297A 56428 245 - 245 0.0033 245 1 Geysers Power Plant - Calistoga Power Plant Geothermal CA W486 60117A 50066 3,735 - 3,735 0.0366 3,735 137 Geysers Power Plant - Calpine Geothermal Unit 11 Geothermal CA W119 60025A 286 4,577 - 4,577 0.0366 4,577 168 Geysers Power Plant - Calpine Geothermal Unit 12 Geothermal CA W120 60004A 286 8,188 - 8,188 0.0366 8,188 300 Geysers Power Plant - Calpine Geothermal Unit 13 Geothermal CA W121 60005A 286 8,178 - 8,178 0.0366 8,178 300 Geysers Power Plant - Calpine Geothermal Unit 14 Geothermal CA W122 60026A 286 11,152 - 11,152 0.0366 11,152 408 Geysers Power Plant - Calpine Geothermal Unit 16 Geothermal CA W123 60006A 286 20,316 - 20,316 0.0366 20,316 744 Geysers Power Plant - Calpine Geothermal Unit 17 Geothermal CA W124 60007A 286 6,189 - 6,189 0.0366 6,189 227 Geysers Power Plant - Calpine Geothermal Unit 18 Geothermal CA W125 60008A 286 76,255 - 76,255 0.0366 76,255 2,793 Geysers Power Plant - Calpine Geothermal Unit 20 Geothermal CA W126 60009A 286 37,344 - 37,344 0.0366 37,344 1,368 Geysers Power Plant - Calpine Geothermal Unit 5/6 Geothermal CA W117 60002A 286 10,337 - 10,337 0.0366 10,337 379 Geysers Power Plant - Sonoma/Calpine Geyser Geothermal CA W127 60010A 286 13,729 - 13,729 0.0366 13,729 503 Ivanpah - Unit 1 Solar CA W3189 62273A 57074 23,586 - 23,586 0.0999 23,586 2,357 Willow Springs 2 - Willow Springs 2 Solar CA W7213 62286A 60324 6,802 - 6,802 - 6,802 - - #N/A -
- #N/A -
FIRMED-AND-SHAPED IMPORTS
Facility Name Fuel Type
State or
Province WREGIS ID RPS ID
EIA ID of
REC
Source
EIA ID of
Substitute
Power
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e)
Eligible for
Grandfathered
Emissions?
Tucannon River Wind Farm - Tucannon River 1 Wind WA W4482 63027A 58571 Unspecified 16,114 - 16,114 0.4280 16,114 6,897 No - #N/A -
SPECIFIED NON-RENEWABLE PROCUREMENTS
Facility Name Fuel Type
State or
Province N/A N/A N/A EIA ID
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e) N/A
- #N/A -
PROCUREMENTS FROM ASSET-CONTROLLING SUPPLIERS
Facility Name Fuel Type N/A N/A N/A N/A EIA ID
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e) N/A
#N/A -
#N/A -
#N/A -
#N/A -
END USES OTHER THAN RETAIL SALES MWh
GHG Emissions Intensity (in MT CO2e/MWh)
Net Specified Natural Gas
Net Specified Coal & Other Fossil Fuels
Net Specified Nuclear, Large Hydro, Renewables, and ACS Power GHG Emissions (excludes grandfathered emissions)
Retail Sales (MWh)
Net Specified Procurement (MWh)
Unspecified Power (MWh)
Procurement to be adjusted
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 1: PROCUREMENTS AND RETAIL SALES
For the Year Ending December 31, 2022
Orange County Power Authority
Smart Choice
Instructions: Enter information about power procurements underlying this electricity portfolio for which your company is filing the Annual Report.
Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out. For EIA IDs for unspecified power or specified system mixes from asset-controlling suppliers, enter "Unspecified Power", "BPA", or "Tacoma Power" as applicable. For specified procurements of ACS power, use the ACS Procurement Calculator to calculate the resource breakdown comprising the ACS system mix. Procurements of unspecified power must not be entered as line items below; unspecified power will be calculated automatically in cell N9. Unbundled RECs must not be entered on Schedule 1; these products must be entered on Schedule 2. At the bottom portion of the schedule, provide the other electricity end-uses that are not retail sales including, but not limited to transmission and distribution losses or municipal street lighting. Amounts should be in megawatt-hours.
Version: April 2023
-
RETIRED UNBUNDLED RECS
Facility Name Fuel Type
State or
Province RPS ID Total Retired (in MWh)
Total Retired Unbundled RECs
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 2: RETIRED UNBUNDLED RECS
For the Year Ending December 31, 2022
Orange County Power Authority
Smart Choice
INSTRUCTIONS: Enter information about retired unbundled RECs associated with this electricity portfolio. Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out.
Version: April 2023
Adjusted Net
Procured (MWh)
Percent of Total
Retail Sales
Renewable Procurements 100.0% 250,203
Biomass & Biowaste 1.5% 3,702
Geothermal 79.9% 199,999
Eligible Hydroelectric 0.0% -
Solar 12.1% 30,388
Wind 6.4% 16,114
Coal 0.0% -
Large Hydroelectric 0.0% -
Natural gas 0.0% -
Nuclear 0.0% -
Other 0.0% -
Unspecified Power 0.0% -
Total 100.0% 250,203
250,203
150
0.0%
Total Retail Sales (MWh)
GHG Emissions Intensity (converted to lbs CO2e/MWh)
Percentage of Retail Sales Covered by Retired Unbundled RECs
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 3: POWER CONTENT LABEL DATA
For the Year Ending December 31, 2022
Orange County Power Authority
Smart Choice
Instructions: No data input is needed on this schedule. Retail suppliers should use these auto-populated calculations to fill out their Power Content Labels.
Version: April 2023
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
ATTESTATION FORM
For the Year Ending December 31, 2022
Orange County Power Authority
Smart Choice
I, Brian Probolsky, Chief Executive Officer, declare under penalty of perjury, that the information provided in this report is true and correct and that I, as an authorized agent of the Orange County Power Authority, have authority to submit this report on the retail supplier's behalf. I further declare that all of the electricity claimed as specified purchases as shown in this report was sold once and only once to retail customers.
Name: Brian Probolsky
Representing (Retail Supplier): Orange County Power Authority Signature:
Dated: May 25, 2023
Executed at: Irvine, CA
Version: April 2023
CONTACT INFORMATION
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
For the Year Ending December 31, 2022
RETAIL SUPPLIER NAME
Orange County Power Authority
ELECTRICITY PORTFOLIO NAME
Basic Choice
Retail suppliers are required to use the posted template and are not allowed to make edits to this format. Please complete all requested information.
GENERAL INSTRUCTIONS
NAME Brian Probolsky
TITLE Chief Executive Officer
MAILING ADDRESS P.O. Box 54283
CITY, STATE, ZIP Irvine, CA 92619
PHONE (949) 767-8700
EMAIL [email protected]
If you have questions, contact Power Source Disclosure (PSD) staff at [email protected] or (916) 639-0573.
NOTE: Information submitted in this report is not automatically held confidential. If your company wishes the information submitted to be considered confidential an authorized representative must submit an application for confidential designation (CEC-13), which can be found on the California Energy Commissions's website at https://www.energy.ca.gov/about/divisions-and-offices/chief-counsels-office.
WEBSITE URL FOR
PCL POSTING https://www.ocpower.org/resources/key‐documents/ Submit the Annual Report and signed Attestation in PDF format with the Excel version of the Annual Report to [email protected]. Remember to complete the Retail Supplier Name, Electricity Portfolio Name, and contact information above, and submit separate reports and attestations for each additional portfolio if multiple were offered in the previous year.
Version: April 2023
177,052
359,844
‐
182,792
‐
‐
359,844
40,383
0.2281
DIRECTLY DELIVERED RENEWABLES
Facility Name Fuel Type
State or
Province WREGIS ID RPS ID N/A EIA ID
Gross MWh
Procured
MWh
Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions (in
MT CO2e) N/A
Clearwater Paper Corporation - #3 turbine generator Biomass & biowasID W128 60533A 56356 30,791 17,149 13,642 0.4716 6,712 3,166 Clearwater Paper Corporation - #4 turbine generator Biomass & biowasID W129 60533A 56356 17,910 17,910 0.4716 8,812 4,156 Kettle Falls Woodwaste Plant - Kettle Falls Woodwaste PlanBiomass & biowasWA W130 60495A 550 1,574 1,574 ‐ 0.0353 - - Seneca Sustainable Energy - Seneca Sustainable Energy Biomass & biowasOR W2045 61090A 57457 7,594 - 7,594 0.0206 3,736 77 Stockton Biomass - Stockton Biomass Biomass & biowasCA W3540 60964A 54238 34,556 27,200 7,356 0.0275 3,619 100 WestRock CP, LLC - Tacoma Mill Biomass & biowasWA W1228 60697A 57099 33,725 10,068 23,657 0.0411 11,640 478 ‐ #N/A -
FIRMED-AND-SHAPED IMPORTS
Facility Name Fuel Type
State or
Province WREGIS ID RPS ID
EIA ID of
REC
Source
EIA ID of
Substitute
Power
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e)
Eligible for
Grandfathered
Emissions?
Biglow Canyon Wind Farm - Biglow Canyon 3 Wind OR W1588 63056A 56485 Unspecified 38,389 - 38,389 0.4280 18,888 8,084 No Biglow Canyon Wind Farm - Biglow Phase 2 Wind OR W1268 63055A 56485 Unspecified 41,823 - 41,823 0.4280 20,578 8,807 No Tucannon River Wind Farm - Tucannon River 1 Wind WA W4482 63027A 58571 Unspecified 14,296 - 14,296 0.4280 7,034 3,011 No Tucannon River Wind Farm - Tucannon River 2 Wind WA W4483 63027A 58571 Unspecified 59,378 - 59,378 0.4280 29,215 12,504 No ‐ #N/A -
SPECIFIED NON-RENEWABLE PROCUREMENTS
Facility Name Fuel Type
State or
Province N/A N/A N/A EIA ID
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e) N/A
Big Creek 3 Large hydro CA 319 44,680 44,680 - 21,984 - Palo Verde Nuclear Generating Station Nuclear AZ 6008 91,119 91,119 - 44,833 - ‐ #N/A -
PROCUREMENTS FROM ASSET-CONTROLLING SUPPLIERS
Facility Name Fuel Type N/A N/A N/A N/A EIA ID
Gross MWh
Procured MWh Resold
Net MWh
Procured
Adjusted Net MWh
Procured
GHG Emissions
Factor (in MT
CO2e/MWh)
GHG Emissions
(in MT CO2e) N/A
#N/A -
#N/A -
#N/A -
#N/A -
END USES OTHER THAN RETAIL SALES MWh
GHG Emissions Intensity (in MT CO2e/MWh)
Net Specified Natural Gas
Net Specified Coal & Other Fossil Fuels
Net Specified Nuclear, Large Hydro, Renewables, and ACS Power GHG Emissions (excludes grandfathered emissions)
Retail Sales (MWh)
Net Specified Procurement (MWh)
Unspecified Power (MWh)
Procurement to be adjusted
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 1: PROCUREMENTS AND RETAIL SALES
For the Year Ending December 31, 2022
Orange County Power Authority
Basic Choice
Instructions: Enter information about power procurements underlying this electricity portfolio for which your company is filing the Annual Report.
Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out. For EIA IDs for unspecified power or specified system mixes from asset-controlling suppliers, enter "Unspecified Power", "BPA", or "Tacoma Power" as applicable. For specified procurements of ACS power, use the ACS Procurement Calculator to calculate the resource breakdown comprising the ACS system mix. Procurements of unspecified power must not be entered as line items below; unspecified power will be calculated automatically in cell N9. Unbundled RECs must not be entered on Schedule 1; these products must be entered on Schedule 2. At the bottom portion of the schedule, provide the other electricity end-uses that are not retail sales including, but not limited to transmission and distribution losses or municipal street lighting. Amounts should be in megawatt-hours.
Version: April 2023
‐
RETIRED UNBUNDLED RECS
Facility Name Fuel Type
State or
Province RPS ID Total Retired (in MWh)
Total Retired Unbundled RECs
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 2: RETIRED UNBUNDLED RECS
For the Year Ending December 31, 2022
Orange County Power Authority
Basic Choice
INSTRUCTIONS: Enter information about retired unbundled RECs associated with this electricity portfolio. Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out.
Version: April 2023
Adjusted Net
Procured (MWh)
Percent of Total
Retail Sales
Renewable Procurements 62.3% 110,235
Biomass & Biowaste 19.5% 34,520
Geothermal 0.0% -
Eligible Hydroelectric 0.0% -
Solar 0.0% -
Wind 42.8% 75,716
Coal 0.0% -
Large Hydroelectric 12.4% 21,984
Natural gas 0.0% -
Nuclear 25.3% 44,833
Other 0.0% -
Unspecified Power 0.0% -
Total 100.0% 177,052
177,052
503
0.0%
Total Retail Sales (MWh)
GHG Emissions Intensity (converted to lbs CO2e/MWh)
Percentage of Retail Sales Covered by Retired Unbundled RECs
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
SCHEDULE 3: POWER CONTENT LABEL DATA
For the Year Ending December 31, 2022
Orange County Power Authority
Basic Choice
Instructions: No data input is needed on this schedule. Retail suppliers should use these auto‐populated calculations to fill out their Power Content Labels.
Version: April 2023
2022 POWER SOURCE DISCLOSURE ANNUAL REPORT
ATTESTATION FORM
For the Year Ending December 31, 2022
Orange County Power Authority
Basic Choice
I, Brian Probolsky, Chief Executive Officer, declare under penalty of perjury, that the information provided in this report is true and correct and that I, as an authorized agent of the Orange County Power Authority, have authority to submit this report on the retail supplier's behalf. I further declare that all of the electricity claimed as specified purchases as shown in this report was sold once and only once to retail customers.
Name: Brian Probolsky
Representing (Retail Supplier): Orange County Power Authority Signature:
Dated: May 25, 2023
Executed at: Irvine, CA
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 11.2
--------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Subject: OFFICE SPACE DISCUSSION AND AUTHORIZATION
Date: September 13, 2023
---------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
1) Authorize the CEO to negotiate and execute up to a twelve-month lease extension agreement with LBA Realty, Inc. for current office space, from November 1, 2023 through October 31, 2024, in a Not-to-Exceed (NTE) amount of $250,000. 2) Authorize the CEO to negotiate and execute up to a seven-year lease agreement with The Irvine Company for the 15310 Barranca Parkway, Irvine office space, in a NTE amount of $1,900,000.
BACKGROUND
In October 2022, the Orange County Power Authority (OCPA) Board of Directors granted the Chief Executive Officer the authority to negotiate and execute agreements at the current office space in Irvine, owned by LBA Realty, Inc.
In April 2023, OCPA executed a six-month lease agreement with LBA Realty, Inc. for this office space located in Irvine. This lease is set to expire on October 31, 2023. Since its inception, OCPA has been operating from this location. While the current office space meets OCPA’s immediate needs, it’s increasingly apparent that it will not cater to the agency’s long-term requirements.
On June 21, 2023, the Board created an Office Space Ad Hoc Committee for the development of OCPA long term office space. The Committee consists of Vice Chair Treseder and Director Kim.
The Office Space Ad Hoc Committee met with OCPA staff on July 12, 2023 to discuss spacing needs, site selection criteria, challenges with the current location, current lease status, and potential options. The Committee visited the Barranca location on September 11, 2023.
DISCUSSION/ANALYSIS
OCPA’s facility is currently inadequate to support the agency’s growing staff and expanded operational requirements. In early 2021, the team consisted of just 2 members. By September 2023, this number had grown to 8. The Agency projects further growth, anticipating 26 full-time positions and an additional 2 internships by June 2024, underlining the need to address its long-term goals and infrastructure.
OCPA Space Needs
OCPA has identified several criteria for its permanent office location. The criteria include an easily accessible board room that’s open to the public, with enough capacity for public meetings and necessary technological infrastructure, a secondary conference room, approximately nine offices dedicated to Director-level positions and above, at least ten cubicles for staff, a breakroom, and full ADA compliance.
OCPA Site Selection Criteria
One of the primary considerations for site selection was minimizing commute times for key stakeholders: OCPA employees, the OCPA Board of Directors, Community Advisory Committee members, and the public. This factor was vital in ensuring convenience and accessibility for all involved. In addition to this crucial criterion, other factors taken into account are:
• Availability and affordability of rental spaces
• Compliance with ordinances and zoning restrictions
• The state of infrastructure
• Proximity to freeways, mass transit, and essential services • Availability of on-site and free parking
• Accessibility to a talented workforce
Upon evaluating these factors, it became clear that Irvine is the best fit for the permanent office.
Two prime locations within Irvine were considered: the Irvine Business Complex (near John Wayne Airport) and the Irvine Technology Center (near the Spectrum/Great Park) area. Both locations stand out for their convenient freeway access and variety of public transit options.
Challenges with Current Location
The current OCPA office location presents several challenges for both staff and the public:
• Boardroom Availability: The office lacks a dedicated boardroom, forcing the use of a separate room in a different building. This not only increases staff time in preparing for board meetings but also introduces uncertainties in scheduling and technology setup. • Parking Limitations: Public parking at the current site is restricted to just two hours, posing inconvenience.
• Lease Uncertainty: The inability to secure a long-term lease brings an unsettling concern.
The office could potentially be unavailable due to external factors beyond OCPA's control, disrupting operations.
• Lack of Public Access: There's no designated receptionist or public access area, which can make it difficult for visitors and diminishes the office's overall functionality. • Insufficient Office Space: The current office setting offers a limited number of individual rooms, restricting growth and flexibility.
• Cost Concerns: The price per square foot at the current location is notably high compared to the standard market value, indicating potential inefficiencies in resource allocation.
Current Lease Status
The current six-month lease with LBA Realty, Inc., ends on October 31, 2023. The current rent is $19,000 a month plus parking and board room rental if there are more than two meetings per month. The current office contains four offices, four telecommuting cubies, and twelve workstations. LBA Realty, Inc. has proposed a six-to-twelve-month extension at the current rate or month to month at $22,800 a month. They are currently not offering terms longer than twelve months due to uncertainty about the future of the current office space.
Proposed Property Location
Staff have identified 15310 Barranca Parkway in Irvine as a suitable candidate for our long-term office space solution. This location aligns our space needs and the established site selection criteria. Notably, it boasts a strategic location, situated less than a quarter mile from the Irvine Transportation/Metrolink Station, and offers easy connectivity via the 5, 405 and 133 freeways.
This proposed property, owned by The Irvine Company, occupies half of the second floor in a two-story building, totaling 7,790 square feet. Currently, it presents an open layout, necessitating significant tenant improvements. The attached floor plan includes a spacious boardroom for over 50 attendees, a welcoming reception area, an auxiliary boardroom for overflow, nine private offices, accommodation for 15 cubicles, and a kitchen/break room. The main boardroom’s placement prioritizes public accessibility. Given our present and projected staff size, this location will provide ample space for staff.
The Irvine Company offers two lease durations: a five-year and a seven-year term, each providing varying tenant improvement allowances depending on the chosen period. Here's a detailed breakdown:
• Duration and Improvement Time: Tenant modifications are estimated to span about 22 weeks post-agreement finalization, with costs around $75 per square foot. • Lease Costs: For both options, the initial yearly rate is set at $14,022 monthly. However, there will be an annual increase in the base rent.
• Tenant Improvement Credits: Five-Year Lease provides a $60 per square foot credit, whereas the seven-Year Lease offers a more generous credit of $75 per square foot. • Additional Expenses: Expect supplementary charges for utilities like electricity and janitorial services. However, the lease encompasses surface parking at no extra fee.
Given the anticipated duration for tenant improvements, staff proposes that the CEO be granted the authority to negotiate. This would enable the execution of an agreement extending up to twelve months with LBA Realty, Inc. for our existing office space.
Other Considerations
Staff also considered various locations both within Irvine and further up north. However, these were ruled out as they failed to align with our spacing needs or the stipulated site selection criteria.
Additionally, staff explored the merits of purchasing an existing office building, recognizing the inherent financial advantages of owning a corporate headquarters as a capital asset: building equity, treating the property as a long-term investment, and eliminating the burden of recurring rental expenses. Yet, upon conducting the attached Lease vs. Purchase Analysis, it becomes clear that, for OCPA’s current situation, leasing is the preferable choice. Specifically, leasing will result in an estimated monthly payment of $3.12 per sf which is $2.63 per sf or 46% less than the cost of purchasing.
FISCAL IMPACT
On June 21, 2023, the Board approved the Fiscal Year 2023-24 Budget. This budget adequately accounts for the above proposed expenses.
ATTACHMENTS
A. Proposed floor plan for the 15310 Barranca Parkway, Irvine location B. OCPA Lease vs. Purchase Analysis
C. Irvine Company Proposal
REF.
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N
CR
N
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
N, +TBD"
A
B
C
D
E
9 10 11 12 13 14
N.I.C.
(E)
OFFICE
256
(E)
OFFICE
257
(E)
OFFICE
258
(E)
OFFICE
259
(E)
OFFICE
260
(E)
OFFICE
261
(E)
OFFICE
262
(E)
OFFICE
263
(E)
EXEC.
OFFICE
264
(N)
BOARD
ROOM
251
(E)
VESTIBULE
(E)
STAIR
#3
(E)
STAIR
#2
(E)
ELEVATOR
LOBBY
(E)
MEN'S
RR
(E)
WOMEN'S
RR
250
264
263
262
261
260
259
258
257
256
P-2
P-1
04 07 03
02 2.01
2.05 2.04
3.03 3.04
08 0.01 0.02 0.03
@ FIRST FLOOR LOBBY
0.04 0.04
0.05 0.07
0.06 0.06
CAP-A CAP-C
09 CAP-C
01 05
06 10
(N)
ELEC.
255
(N)
COPY/PRINT
253
(N)
STORAGE
252
(N)
OPEN
OFFICE
265
(N)
BOARD
ROOM
251
(N)
ENTRY
250
08 08
(N)
OVERFLOW
ROOM
266
251A
252A
252B
251B
265
266
255
F
CAP-A
3.01 3.02
08 08
3.04 3.04
3.04 3.04
3.04 3.04
3.04 3.04
3.04 3.04
08 08
08 08
08 08
08 08
08 N
N
08 3.04
11 ALT-A
ALT-A
2.08 2.08
0.10 0.10
3.03 3.03
3.03 3.03
3.03 3.03
2.07 254
0.09 2.05
2.05 2.05
2.09 2.05
(N)
BREAK
ROOM
254
0.10 2.05
0.04 3.05
0.04 0.08
2.05 M
2.05 3.07
3.05 3.05
3.07 3.06
4' - 0"
2.10 3.03
3.03 0.09
0.10 0.10
0.10 0.01 0.03
@ FIRST FLOOR ENTRY
N
PROJECT NORTH
1/8" = 1'-0"
SECOND FLOOR PRICING PLAN 1
Orange County Power Authority
Lease vs Purchase Analysis
LEASE
Address: 15130 Barranca, Irvine
Today: 11/1/2023
Move in (22 weeks) 4/3/2024
First payment: 8/3/2024
Term Sq. Ft.
Basic Rent
per sq. ft YOY %
Total
Monthly
Operating Expenses /
Electric / Janitorial
per sq. ft
Monthly Operating
Expenses / Electric /
Janitorial
After Office Hours
A/C Charge for CAC
Meeting
Total
Monthly
Total
Annual
Total
Monthly
per sq. ft Remarks
Y1 - 1 to 4 7,790 FREE FREE $ 0.97 $ 7,556 $ 76 $7,632
Y1 - 5 to 12 7,790 $1.80 $14,022 $ 0.97 $ 7,556 $ 76 $21,654 $203,761 $ 3.76 Y2 - 13 to 24 7,790 $1.86 3.3% $14,489 $ 0.97 $ 7,556 $ 76 $22,121 $265,457 $ 2.84 Y3 - 25 to 36 7,790 $1.93 3.8% $15,035 $ 0.97 $ 7,556 $ 76 $22,667 $272,001 $ 2.91 Y4 - 37 to 48 7,790 $2.00 3.6% $15,580 $ 0.97 $ 7,556 $ 76 $23,212 $278,545 $ 2.98 Y5 - 49 to 60 7,790 $2.07 3.5% $16,125 $ 0.97 $ 7,556 $ 76 $23,757 $285,088 $ 3.05 5-Yr Rental: $15/sf Tenant Improvement ($116,850) Y6 - 61 to 72 7,790 $2.14 3.4% $16,671 $ 0.97 $ 7,556 $ 76 $24,303 $291,632 $ 3.12 Y7 - 73 to 84 7,790 $2.21 3.3% $17,216 $ 0.97 $ 7,556 $ 76 $24,848 $298,175 $ 3.19 7-Yr Rental: No Tenant Improvement charge 5-Year Term Average $ 3.11
7-Year Term Average $ 3.12
PURCHASE
Mortgage Period 10
Commercial Mortgage Rate 7.5%
Loan Principal 80%
Property Tax Exemption: Per a Real Estate Lawyer as well as Orange County Assessor Department, the government entity and the building that is purchased will be exempt. The owner of the land as a private party will not benefit from the property tax exemption.
Address Sq. Ft. Selling Price
Tenant Improvement
per sq. ft
Total Tenant
Improvement Selling Price
Operating Expenses /
Electric / Janitorial
per sq. ft
Monthly Operating
Expenses / Electric /
Janitorial
Total
Monthly
Total
Annual
Total
Monthly
per sq. ft Remarks
16440 Bake Pky Bldg 30, Irvine 6,157 $ 3,850,000 $ 80 $ 492,560 $ 4,342,560 $ 0.97 $ 5,972 $ 41,238 $566,518 $ 6.70 100% Leased 16150 Scientific, Irvine 6,171 $ 3,365,000 $ 80 $ 493,680 $ 3,858,680 $ 0.97 $ 5,986 $ 36,643 $511,541 $ 5.94 9 Offices, 2 bullpens, no board room 8961 Research, Irvine 9,900 $ 5,346,000 $ 80 $ 792,000 $ 6,138,000 $ 0.97 $ 9,603 $ 58,287 $814,684 $ 5.89 100% Leased 6 Hughes, Irvine 10,525 $ 4,300,000 $ 80 $ 842,000 $ 5,142,000 $ 0.97 $ 10,209 $ 48,829 $708,461 $ 4.64 Needs TI 17631 Fitch, Irvine 9,073 $ 4,600,000 $ 80 $ 725,840 $ 5,325,840 $ 0.97 $ 8,801 $ 50,575 $712,509 $ 5.57 In Escrow Purchase Average $ 5.75
Lease vs Purchase ($) $ (2.63)
Lease vs Purchase (%) -46%
55735.00001\41622877.1
September 6, 2023
Via Email: [email protected]
Travis Boyd
Executive Vice President
CBRE
3501 Jamboree Road Suite 100
Newport Beach, California 92660
Re: Lease Proposal - ORANGE COUNTY POWER AUTHORITY
15310 Barranca Parkway, Suite 250
Irvine, California 92618
Dear Travis,
Thank you for your request for proposal on behalf of your client, Orange County Power Authority.
LAKEVIEW BUSINESS CENTER LLC (“Landlord” or “The Irvine Company”), is pleased to submit the following proposal to lease for space in 15310 Barranca Parkway to Orange County Power Authority (“Tenant”), which proposal for lease (the “Lease”) shall be on the following terms and conditions:
1. Premises and Project:
Tenant shall lease Lakeview Business Center (“Premises”) consisting of approximately 7,790 rentable square feet described as:
Building: 15310 Barranca Parkway
Irvine, California 92618
Premises: Suite 250
2. Term and Commencement Date:
The initial term of this lease shall be for either 60 months (Option 1) or 84 months (Option 2) and shall commence upon substantial completion of the tenant improvements, which is estimated to be approximately 22 weeks after lease execution, or approximately December 1, 2023.
3. Early Access:
Following receipt of required funds and insurance, and provided Tenant does not interfere with the construction process, Tenant shall be allowed early access to the Premises up to 15 days before the commencement date, with no obligation to pay rent, for the sole purpose of installing cabling and fixturizing the Premises.
55735.00001\41622877.1
Lease proposal presented to ORANGE COUNTY POWER AUTHORITY Page 2 of 5
4. Basic Rent:
The monthly Basic Rent shall be as follows:
Option 1 (60 Month Term):
Months Basic Rent/Square Foot
1 to 4 FREE
5 to 12 $1.80
13 to 24 $1.86
25 to 36 $1.93
37 to 48 $2.00
49 to 60 $2.07
Option 2 (84 Month Term):
Months Basic Rent/Square Foot
1 to 4 FREE
5 to 12 $1.80
13 to 24 $1.86
25 to 36 $1.93
37 to 48 $2.00
49 to 60 $2.07
61 to 72 $2.14
73 to 84 $2.21
Basic rent rates “NNN”.
5. Abated Rent:
Basic rent shall be abated during months one through four. Tenant shall remain responsible for operating expenses during the period that basic rent is abated.
6. Operating Expenses:
Tenant shall be responsible for its pro rata share of all operating expenses. Operating Expenses are estimated to be $0.74 per square foot per month for fiscal year ending June 30, 2023.
Estimated operating expenses do not include electricity and janitorial service to the premises.
Tenant shall pay the provider of such services directly.
The “all in” estimated operating expenses are estimated to be $0.97.
7. Tenant Improvements:
Landlord shall improve the premises per the LPA Pricing Plan dated 4/17/2023, provided that Landlord’s contribution toward the improvements shall not exceed $60.00 (Option 1) or $75.00 (Option 2) per rentable square foot of the premises.
Landlord’s contribution shall be used toward preliminary space plans, architectural, electrical and mechanical working drawings including engineering, permits, plus a general contractor’s fee and a 55735.00001\41622877.1
Lease proposal presented to ORANGE COUNTY POWER AUTHORITY Page 3 of 5 construction management fee of 3% of the total hard and soft costs. Any additional cost shall be the responsibility of the Tenant payable prior to start of construction.
Landlord’s contractor, selected on the basis of competitive bid, will construct the tenant improvements.
8. Space Planning:
Landlord will agree to reimburse Tenant’s planner up to $0.15 per rentable square foot of the Premises for a preliminary space plan. In the event a Lease is successfully completed, then such $0.15 fee shall be part of the tenant improvement expenses. If a Lease is not completed, then Landlord shall be solely responsible for this fee.
9. Parking:
Tenant shall be entitled to 27 vehicle parking spaces in the common areas of the Project, on an unreserved and unassigned basis. Parking shall be free of charge for the initial term of the lease.
10. Signage:
Landlord shall provide, at its sole cost, Tenant’s initial Building standard suite entry and lobby directory signage.
11. Right to Extend:
Tenant shall have one option to extend the term of the lease for 60 months. Tenant shall exercise such option, if at all, by giving written notice of such exercise to Landlord not more than 12 months and not less than 9 months prior to the scheduled expiration of the term. The basic rent payable during such extension shall be equal to one hundred percent (100%) of the fair market rental of the Premises.
12. HVAC:
Standard HVAC shall be provided (holidays excluded) from 8:00 a.m. to 6:00 p.m., Monday through Friday, and on Saturdays from 8:00 a.m. to 1:00 p.m. upon request. After hours HVAC will be provided upon request at Landlord’s standard charge, currently $25.25 per hour (including electricity).
13. First Month’s Rent/Security Deposit:
The first month’s basic rent, estimated operating expenses, and the security deposit shall be paid upon Tenant’s execution of the lease.
The amount of the security deposit shall be determined upon Landlord’s receipt and review of Tenant’s financial statements, to include 2 years of balance sheet and income statements.
14. Assignment/Subletting:
Landlord will not unreasonably withhold its consent to an assignment of the lease or sublease of the Premises in accordance with the terms set forth in the lease. Any excess rents from the assignment or sublease shall be split 50/50 between the Landlord and Tenant, after deducting Tenant’s reasonable costs.
55735.00001\41622877.1
Lease proposal presented to ORANGE COUNTY POWER AUTHORITY Page 4 of 5 Provided Tenant has not been in default of its lease, and in accordance with the terms set forth in the lease, Tenant shall have the right without the consent of, but with written notice to, Landlord to assign or sublease all or any portion of the Premises to (a) any entity resulting from a merger or consolidation with Tenant, (b) any entity succeeding to the business and assets of Tenant, or (c) any entity controlling, controlled by, or under common control with Tenant.
15. Project Amenities:
Tenant and its employees shall have access to use the following on-site amenities located at Lakeview Business Center:
• Access to a KINETIC™, a state of the art private fitness and wellness center • The Commons outdoor workspaces
• Nearby dining, retail and entertainment options
• EV Charging Stations
• Auto detailing services
• iShuttle services through Irvine Spectrum and local transit stations Onsite amenities are subject to change from time to time and are personal to Tenant and its employees.
16. Brokers:
By signing this letter, Tenant recognizes Travis Boyd of CBRE, as its exclusive real estate agents with respect to negotiations for this transaction. Any commission due and earned will be paid by Landlord in accordance with Landlord’s standard commission schedule. Irvine Management Company is a licensed real estate brokerage company and shall act exclusively as the representative of the Landlord in this transaction.
This proposal is an outline only of certain key terms of the proposed Lease. This proposal is not an offer to lease and Landlord is not making any binding commitment by signing this proposal or by any prior discussion. Tenant acknowledges that Landlord may concurrently be discussing the lease of the Premises with other prospective tenants. Further, this proposal shall not constitute an agreement to negotiate, in good faith or otherwise, the proposed Lease. Landlord and Tenant each acknowledge and agree that each party is proceeding with negotiations relating to the proposed Lease at its sole cost and expense, and that either party may terminate negotiations at any time and for any reason without any liability or obligation whatsoever. Accordingly, Landlord and Tenant shall only be bound to a lease of the Premises when and if a final lease document (which may contain additional and/or different terms than those contained in this proposal) is fully negotiated and executed by both parties and returned to Tenant.
The terms set forth herein are based on your responding to this letter not later than 5:00 p.m., five (5) days from the date of this proposal and are subject to the availability of the Premises and the review and approval of Tenant's financial strength.
If the preceding proposal is acceptable to your client, please have them sign and return an acknowledged copy of this proposal so we may begin drafting the lease document.
Should you have any questions regarding this proposal, please do not hesitate to contact us at (949) 720- 2230. We look forward to working with you on this requirement.
Sincerely,
55735.00001\41622877.1
Lease proposal presented to ORANGE COUNTY POWER AUTHORITY Page 5 of 5 Michael S. Hodges
Lic: 1027655
Senior Director, Leasing
Irvine Management Company
As agent for Landlord
Scott Tippett
Lic: 01739314
Leasing Director
Irvine Management Company
As agent for Landlord
AGREED AND ACKNOWLEDGED:
ORANGE COUNTY POWER AUTHORITY
Name Date
Title
Leasing Admin: CWr, Operations Manager: McKinley Ferdig, Construction Manager: Imelda Delherra, Opportunity: Opp-047602
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 11.3
-------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Subject: APPOINTMENT OF BOARD DIRECTOR(S) TO LEGISLATIVE AND
REGULATORY COMMITTEE AND MARKETING AND
COMMUNICATIONS COMMITTEE
Date: September 13, 2023
--------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Approve Chair Fred Jung’s appointment of Board Director(s) to the Legislative and Regulatory Committee and the Marketing and Communications Committee to fill an early vacancy created by the change in representatives from the city of Buena Park to the OCPA Board of Directors.
BACKGROUND
Recently, the city of Buena Park voted to change their representation to the OCPA Board of Directors. The representative from the city of Buena Park was the appointed Board Director to the Legislative and Regulatory Committee and the Marketing and Communications Committee. The change in representation created an early vacancy on these two committees.
In accordance with the adopted OCPA Bylaws, Article VII Section 3 provides for the Chair to nominate committee members, subject to approval by a majority vote of the Board. If the Board fails to approve the Chair’s nomination(s) to a standing committee, the Board may entertain a motion for the appointment of committee members.
FISCAL IMPACT
None
ATTACHMENTS
None
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 11.4
-------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Subject: NET ENERGY METERING ENROLLMENT UPDATE
Date: September 13, 2023
--------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Receive and file.
BACKGROUND
Net Energy Metering (NEM) customers were enrolled into Orange County Power Authority on a rolling basis. Customers are enrolled within a month of their annual true up date with SCE. This ensures customers do not lose any credits. The schedule of when residential and non-residential NEM customers were enrolled can be seen below.
NEM customers receive five notices from OCPA. Two pre-enrollment notices, a courtesy letter describing the benefits of OCPA’s NEM program, and two post-enrollment notices. NEM customers are eligible to opt out of OCPA services beginning 60 days prior to their enrollment month. The final NEM Enrollment phase will begin on October 1st. This phase includes nearly 500 NEM customers.
Enrollment in OCPA’s NEM program will not affect the grandfathered status of NEM 1.0 or 2.0 customers. NEM customers will continue to retain their grandfathered NEM status, as well as their legacy rates, while also enjoying OCPA’s higher Net Surplus Compensation rate.
OCPA offers many benefits to NEM customers, such as a 10% increase above SCE’s Net Surplus Compensation (NSC) rate, a true up month in April, and monthly billing instead of annual. NEM customers are encouraged to visit http://www.ocpower.org/nem to learn more about the benefits OCPA offers to NEM customers.
FISCAL IMPACT
None
ATTACHMENT
None
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 12
--------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Subject: PROPOSED AMENDMENTS TO THE OCPA JOINT POWERS AGREEMENT Date: September 13, 2023
---------------------------------------------------------------------------------------------------------------------
RECOMMENDED ACTION
Vice Chair Treseder has submitted a Director-Initiated Agenda Item regarding proposed amendments to the OCPA Joint Powers Agreement (JPA) as discussed in the attached memo.
FISCAL IMPACT
There is no fiscal impact.
ATTACHMENT
Vice Chair Treseder’s Memorandum dated September 7, 2023 Memo
To: Joe Mosca, Interim Chief Executive Officer
From: Kathleen Treseder, Vice Chair
Date: September 7th, 2023
Re: Amendments to the JPA Agreement
Summary:
OCPA has completed many necessary and important changes during the past year to restore public confidence in the agency and ensure that OCPA adheres to industry best practices in terms of governance, transparency, budgeting and forecasting, staffing, contracting practices and disbursements. These changes directly and successfully addressed and implemented reforms recommended in the OC Grand Jury Report, Orange County Audit and Analysis, and State of California Audit.
While these changes have been transformational, in order to expand OCPA and bring clean energy choice, economic development and community benefits to more cities in our region, the agency must also correct several remaining issues and problematic provisions in its Joint Powers Authority (JPA) agreement. The JPA agreement will be reviewed closely by any city considering membership in the agency, and must therefore reflect OCPA’s mission, vision, values and operational excellence.
I would like to agendize a board discussion and vote on the following amendments to the OCPA JPA agreement at the Sept. 13, 2023 OCPA board meeting, directing staff to facilitate these changes in accordance with sections 3.9.4.1 and 3.9.4.3 of the JPA agreement.
—------------------------
Amendments
• Recommended deletions are crossed out.
• Key changes are highlighted in green.
• Recommended additions are in bold and highlighted in yellow. • Notes are in italics and provided for each section where necessary.
RECITALS
[Note: Compared to the recitals and purpose sections in San Diego Community Power (SDCP), Clean Power Alliance (CPA) and 3CE’s JPA agreements, OCPA’s recitals section is very wordy and lacks clarity. Removing the term “other forms of energy” in item b will clarify that OCPA's purpose is NOT to encourage fossil fuel-based energy sources, landfill gas or other harmful pollution sources. Removing “and conventional” in item d will clarify that OCPA's purpose is NOT to encourage fossil fuel-based energy sources.] F. The purposes for entering into this Agreement are more fully specified in subsection
1.4 below, but principally consist of the study, promotion, development, funding, financing, purchasing, conduct, operation, and management of energy, energy efficiency and conservation, and other energy-related and community choice aggregation programs (the “CCA Program”), through which the following objectives may be advanced:
• (a) reducing greenhouse gas emissions related to the use of power throughout the Parties’ jurisdictions and neighboring regions; (b) providing electric power and other forms of energy to customers at a competitive cost; (c) carrying out programs for ratepayers of all income levels to reduce energy consumption; (d) stimulating and sustaining the local economy by developing local jobs in renewable and conventional energy; and (e) promoting long-term electric rate stability, energy security and reliability for residents through local control of electric generation resources.
[Note: Similar language appears in the 3CE JPA. Adding this language and removing the existing language — especially the "other forms of energy" and "conventional energy" language above – would create and/or clarify OCPA's commitments to renewable electricity, rate stability, affordability and competitive rates.]
• A. Reducing greenhouse gas emissions related to the use of power in Orange County and neighboring regions;
• B. Providing electric power and other forms of energy to customers at affordable rates that are competitive with the incumbent utility;
• C. Carrying out programs to facilitate electrifying the transportation, public infrastructure, and the building sectors to reduce reliance on fossil fuels and thus reduce greenhouse gas emissions;
• D. Stimulating and sustaining the local economy by lowering electric generation charges and creating local jobs as a result of OCPA’s CCE program; and • E. Promoting long-term electric rate stability and energy security and reliability for residents through local control of electric generation resources. [Note: This language appears in the CPA JPA and would clarify OCPA's commitment to equity and environmental justice.]
• F. Ensuring that low-income households and communities are provided with affordable and flexible energy options, including the provision of discounted energy rates to eligible low-income households;
• G. Recognizing and addressing the importance of healthy communities, including those disproportionately affected by air pollution and climate change; [Note: This language appears in CPA's JPA and supports the development of good local jobs:] • H. Supporting a stable, skilled workforce through such mechanisms as project labor agreements, collective bargaining agreements, or community benefit agreements, or other workforce programs that are designed to avoid work stoppages, ensure quality, and benefit local residents by delivering cost-effective clean energy programs and projects (e.g. new energy programs and increased local energy investments);
SECTION 2: POWERS OF THE AUTHORITY
[Note: This language does not appear in any other CCA JPA agreement and should be removed.]
2.1.14 To receive loans, gifts, contributions, and donations of property, funds, services, and other forms of financial assistance from persons, firms, corporations, and any governmental entity;
SECTION 3: GOVERNANCE
3.1 General Governance; Board of Directors.
3.10.2 Secretary. The Secretary shall be responsible for keeping the minutes of all meetings of the Board and all other official records of the Authority. [add: The Board shall appoint a qualified person who is not on the Board to serve as Secretary. The Secretary shall be responsible for keeping the minutes of all meetings of the Board and all other office records of OCPA. If the appointed Secretary is an employee of any Party, such Party shall be entitled to reimbursement for any documented out of pocket costs it incurs in connection with such employee’s service as Secretary of OCPA, and full cost recovery for any documented hours of service provided by such employee during such Party’s normal working hours.]
3.12 Chief Executive Officer. The Board shall appoint a Chief Executive Officer. The Chief Executive Officer shall be the chief administrative officer of the Authority, and shall be Secretary of the Board. The powers and duties of the Chief Executive Officer shall be those delegated and/or assigned to the Chief Executive Officer by duly adopted action of the Board.
[Note: This suggested language appears in the 3CE JPA]
3.10.3 TreasurerChief Financial Officer and Auditor. In accordance with California Government Code § 6505.5, the Board shall appoint a qualified person to act as the Treasurer and a qualified person to act as the Auditor, neither of whom need be members of the Board. The Treasurer and the Auditor shall possess the powers of, and shall perform those functions required of them by California Government Code §§ 6505, 6505.5, and 6505.6, and by all other applicable laws and regulations and amendments thereto. [The Policy Board shall appoint a qualified person to act as the Treasurer and a qualified person to act as the Auditor, neither of whom needs to be a member of the Board. If the Board so designates, and in accordance with the provisions of applicable law, a qualified person may hold both the office of Treasurer and the office of Auditor of the Authority. Unless otherwise exempted from such requirement, the Authority shall cause an independent audit to be made by a certified public accountant, or public accountant, in compliance with Section 6505 of the Act. The Treasurer shall report directly to the Board and shall comply with the requirements of treasurers of incorporated municipalities. The Board may transfer the responsibilities of Treasurer to any person or entity as the law may provide at the time. The duties and obligations of the Treasurer are further specified in Article 5.]
[Note: language from SDCP JPA]
3.12 Chief Executive Officer. The Board shall appoint a Chief Executive Officer, who shall be responsible for the day-to-day operation and management of OCPA and the CCA Program. The Board shall appoint a qualified person, hired through a transparent, competitive process, to act as the Chief Executive Officer; he or she may not be an elected member of the Board or otherwise representing any Party to OCPA. The Chief Executive Officer may exercise all powers of OCPA, except those powers specifically reserved to the Board including but not limited to those set forth in Section 3.5 (Specific Responsibilities of the Board) of this Agreement or OCPA’s bylaws, or those powers which by law must be exercised by the Board. The Chief Executive Officer may enter into and execute power purchase agreements and other contracts, in accordance with criteria and policies established by the Board.
The Chief Executive Officer shall be the chief administrative officer of the Authority, and shall be Secretary of the Board. The powers and duties of the Chief Executive Officer shall be those delegated and/or assigned to the Chief Executive Officer by duly adopted action of the Board.
[Note: board responsibilities are not currently specified in the OCPA JPA. The following language appears in the SDCP JPA.]
3.5 Specific Responsibilities of the Board.
The specific responsibilities of the Board shall be as follows:
3.5.1 Identify Party and ratepayer needs and requirements;
3.5.2 Formulate and adopt an annual budget prior to the commencement of the fiscal year;
3.5.3 Develop and implement a financing and/or funding plan for ongoing OCPA operations and capital improvements, if applicable;
3.5.4 Retain necessary and sufficient staff and adopt personnel and compensation policies, rules and regulations;
3.5.5 Develop a workforce policy that promotes a local, sustainable, and inclusive workforce;
3.5.6 Adopt policies for procuring electric supply and operational needs such as professional services, equipment and/or supplies;
3.5.7 Develop and implement a Strategic Plan to guide the development, procurement, and integration of renewable energy resources consistent with the intent and priorities identified in this Agreement;
3.5.8 Adopt rules for the disposal of surplus property;
3.5.9 Establish standing and ad hoc committees as necessary to ensure that the interests of OCPA and concerns of each Party are represented to ensure effective operational, technical, and financial functioning of OCPA and monitor the distribution and usage of OCPA programs and benefits throughout OCPA’s service territory;
3.5.10 The setting of retail rates for power sold by OCPA and the setting of charges for any other category of retail service provided by OCPA;
3.5.11 To wind up and resolve all obligations of OCPA in the event OCPA is terminated pursuant to Section 4.5;
3.5.12 Address any concerns of consumers and customers;
3.5.13 Conduct and oversee OCPA operational audits at intervals not to exceed three years including review of customer access to OCPA programs and benefits, where applicable;
3.5.14 Arrange for an annual independent fiscal audit;
3.5.15 Adopt such bylaws, rules and regulations as are necessary or desirable for the purposes hereof; provided that nothing in the bylaws, rules and regulations shall be inconsistent with this Agreement;
3.5.16 Exercise the Specific Powers identified in Sections 2.1 and 5.7 except as those which the Board may elect to delegate to the Chief Executive Officer; and
3.5.17 Discharge other duties as appropriate and/or required by law.
SECTION 4
[Notes: Commitments to minimum RPS do not appear in SDCP, CPA or 3CE's JPAs. Removing this language will clarify OCPA’s commitment to its mission and values. The recommended language below appears in the SDCP JPA.]
4.4 Power Supply. The Board will establish power supply options for the Authority. The Authority’s power supply options will include, but not be limited to, renewable and GHG-free base product that is equivalent to the minimum required by law. Each Party may select its power supply base product for the ratepayers in its jurisdiction. Each Party shall also have the flexibility to achieve its climate goals without impeding any other Party from doing the same. OCPA shall provide its customers energy primarily from Category 1 eligible renewable resources, as defined under the California RPS and consistent with the goals of the CCA Program. OCPA shall avoid the procurement of energy from Category 2 or 3 eligible renewable resources (unbundled Renewable Energy Credits or RECs) to the extent feasible. OCPA’s ultimate objective shall be to achieve— and sustain—a renewable energy portfolio with 100 percent renewable energy availability and usage, at competitive rates, within OCPA service territory by no later than 2030, and then beyond.
SECTION 5: FINANCIAL PROVISIONS
[Note: Adding more specifics around how financial reporting is handled will help increase public confidence in the agency. Section 3.5.11 and 3.5.12 refer to the Specific Responsibilities of the Board section proposed for addition in this document above.
Language from SDCP JPA.]
5.2 Treasurer. Accounts and Reports. The Treasurer shall establish and maintain such funds and accounts as may be required by good accounting practice or by any provision of any trust agreement entered into with respect to the proceeds of any bonds issued by OCPA. The books and records of OCPA in the hands of the Treasurer shall be open to inspection and duplication at all reasonable times by duly appointed representatives of the Parties. The Treasurer, within 180 days after the close of each fiscal year, shall give a complete written report of all financial activities for such fiscal year to the Parties. The Treasurer shall cooperate with all regular audits required by Section 3.5.11 and 3.5.12.
5.3 Depository & Accounting. All funds of the Authority shall be held in separate accounts in the name of the Authority and not commingled with the funds of any Party or any other person or entity. Disbursement of such funds during the term of this Agreement shall be accounted for in accordance with generally accepted accounting principles applicable to governmental entities and pursuant to California Government Code § 6505 et seq. and other applicable laws. There shall be a strict accountability of all funds. All revenues and expenditures shall be reported regularly to the Board. The books and records of the Authority shall be promptly open to inspection by the Parties at all reasonable times.
[Note: Language from 3CE JPA]
All funds of the Authority shall be strictly and separately accounted for, and regular reports shall be rendered of all receipts and disbursements, at least quarterly during the fiscal year. The books and records of the Authority shall be open to inspection by the Parties at all reasonable times. The Board(s) shall contract with a certified public accountant or public accountant to make an annual audit of the accounts and records of the Authority, which shall be conducted in accordance with the requirements of Section 6505 of the Act.
All expenditures shall be made in accordance with the approved budget and upon the approval of any officer so authorized by the Board(s) in accordance with its Operating Rules and Regulations. The Treasurer shall draw checks or warrants or make payments by other means for claims or disbursements not within an applicable budget only upon the prior approval of the Board(s).
ORANGE COUNTY POWER AUTHORITY
Staff Report – Item 13
--------------------------------------------------------------------------------------------------------------------- To: Orange County Power Authority Board of Directors
From: Joe Mosca, Interim Chief Executive Officer
Subject: CHIEF EXECUTIVE OFFICER’S REPORT
Date: September 13, 2023
--------------------------------------------------------------------------------------------------------------------- Orange County Power Authority Ongoing Net Energy Metering (NEM) Enrollments The final Net Energy Metering (NEM) Enrollment phase will begin on October 1st. This phase includes nearly 500 NEM customers. NEM customers are being enrolled every other month based on their “true up” date with SCE. This allows customers to enjoy the full benefit of their NEM program.
OCPA offers many benefits to NEM customers, such as a 10% increase above SCE’s Net Surplus Compensation (NSC) rate, a true up month in April, and monthly billing instead of annual. NEM customers are encouraged to visit http://www.ocpower.org/nem to learn more about the benefits OCPA offers to NEM customers.
Improvement Plan Update
OCPA has completed 100% of the recommendations contained in OCPA’s Improvement Plan. (see OCPA Improvement Plan - Orange County Power Authority (ocpower.org)). The OCPA Improvement Plan addresses all recommendations in the various reports and audits of OCPA.
Regarding the California State Auditor’s audit of OCPA, OCPA is responsible for updating the State Auditor on its progress at 60-days, 6-months, and 1-year from the issuance of the audit.
OCPA updated the State Auditor on its 60-days progress on April 28, 2023. Recently, OCPA has received feedback from the State Auditor that all initial recommendations reported on have been marked as “fully implemented” by the State Auditor.
At the end of August, just before the 6-month update was due, OCPA updated the State Auditor on actions that OCPA has taken to meet the remaining recommendations made in the audit of OCPA. The State Auditor has communicated to OCPA that it is reviewing all information and documentation provided. While the State Auditor may request further information, it is anticipated that all recommendations will be marked as “fully implemented” and all audit activities will be completed well before the end of the calendar year and ahead of schedule.
Human Resources Update
We are currently reviewing applicants and conducting interviews for a number of positions including IT Specialist, Management Analyst, External Affairs Manager, Community Engagement Manager, Financial & Administrative Analyst, Data Analyst, and Director of Power Resources.
We hope to add many additional staff to our exceptional team soon. OCPA will be posting several additional job openings in the coming months including Data & Systems Manager, Administrative Assistant/Office Manager, Finance Manager, Trading Manager, Risk Management Analyst, and Energy Contract & Compliance Specialist.
Continue to monitor https://www.ocpower.org/about-us/careers/ to view current job openings.
Events
August was a busy month for the OCPA team. The OCPA team • staffed a booth at the Buena Park Summer Concert
• presented to the Vietnamese American Chamber of Commerce Board of Directors • attended the World Korean Business Convention meeting • attended the City of Irvine’s Climate Action & Adaptability Plan meeting • staffed a booth at Buena Park’s Super Senior Resource Fair • hosted a webinar for Ivymax students
• staffed table at the City of Irvine’s Taekwondo Day event • attended the CalCCA semi-annual joint committees meeting and the Climate Resiliency Investigative Hearing.
Many more events are planned for September.
• September 15, OCPA staff will be attending the Nexus: the San Diego Climate Summit at UC San Diego.
• OCPA will have a booth at the following events
o September 17 - Irvine Fiesta Latina en Irvine
o September 22 - Fullerton’s Tommy Lasorda Day Festival o September 23 - Buena Park CultureFest
o September 23-24 Orange County Veg Fest.
o September 27th and 28th OCPA staff will attend the California Public Utilities Commission Annual GO 156 Supplier Diversity Expo and En Banc in Escondido.
Attachments
A) Contract Tracker
B) Non-Power Supply Contracts in Excess of $50,000 to Under $100,000 No. Vendor Start Date End Date NTE Amount
Expenses recorded
against contract
Remaining
NTE Amount Notes
Contract
Approved by the
Board?
Contract
Reported to the
Board?
RFP
to be Issued?
1 Baker Tilly (Management Partners, Inc.) 7/1/2023 6/30/2024 75,000.00 7,762.50 67,237.50 HR Consulting Support Yes 2 Balance Public Relations 1/1/2023 9/30/2023 121,500.00 108,000.00 13,500.00 Strategic Consulting and Audit Compliance Advisory Services Yes No 3 Best Best & Krieger 12/16/2020 See Notes See Notes 1,779,848.14 See Notes General Counsel, Financial & Power Procurement, Regulatory, Labor Related, and Special Legal Services. No NTE amount and contract end date. Costs are variable (time and materials).
Yes RFP was issued on 2/24/2023 with one
proposal rec'd on 3/17/2023. Pending for
Board direction.
4 Calpine Energy Solutions 9/14/2021 9/13/2026 See Notes 1,621,283.00 See Notes Data Management & Call Center Services. NTE and Amount Paid depend on the number of active accounts during the month.
Yes
5 Golden Communications 3/1/2022 2/29/2024 120,000.00 96,206.00 23,794.00 Digital Services - Strategic Marketing, Branding, Communications, and Public Education and Outreach Campaign/Program, Website Development Svc
Yes Yes - RFP to be issued in Q4 2023
6 Hana Park Place/LBA IV-PPI, LLC 2/9/2021 10/31/2023 See Notes 302,305.52 See Notes Office lease Yes Yes See Remark below 7 Littler Mendelson P.C. 8/10/2022 12/31/2023 125,000.00 108,798.68 16,201.32 Labor and Employment Legal Services Yes Yes - RFP to be issued in Q4 2023 8 Maher Accountancy 1/1/2023 12/31/2023 231,000.00 145,310.64 85,689.36 Accounting Service and Annual Financial Audit Support Yes Yes - RFP to be issued in Q4 2023 9 Method Technologies 2/1/2023 1/31/2024 See Notes - See Notes IT Support - Initial term 1 Year with 1-Year renewal term. No NTE as costs include monthly fees that will vary month to month as services and subscriptions will be added/removed due to the change of active users and hourly service rates that will be billed by time and materials.
No as contract
value < $50k
10 Newgen Strategies & Solutions 7/19/2023 6/30/2025 495,750.00 - 495,750.00 Rates Strategies, Budget and Projection Modeling, and FP&A Services Yes 11 Orange County Printing Company 7/1/2022 6/30/2024 732,201.60 548,345.36 183,856.24 Print House Services (see Remark below) Yes 12 Pacific Energy Advisors, Inc. 6/9/2021 12/31/2024 1,791,800.00 1,080,162.45 711,637.55 Portfolio Management Services - amendment to add the back-office support invoice validation service for $75k on 6/23/2023
Yes Yes - For the
additional service
scope of back-office support
invoice validation
service for $75k
13 Pisenti & Brinker See Notes See Notes 84,044.00 33,144.00 50,900.00 External Financial Audit Services. Amendment to extend the terms through the issuance of the final audit report for FY23/24 and increase the contract amount to $79,400 (FY21/22 $21k. FY22/23 $29k. FY23/24 $29.4k). Further amendment to increase the contract amount by $4,644 for the FY21/22 audit services due to unexpected out-of-scope work in connection to the member agency and state audits. The total NTE has been adjusted from $79,400 to $84,044.
Yes
14 Reveille, Inc. 7/1/2023 12/31/2023 750,000.00 184,055.10 565,944.90 Strategic Marketing and Branding Material, PR and Social Media Support Yes RFP was issued on 3/7/2023 with three proposals rec'd on 4/4/2023. Board
approved for a revised term from 7/1-
12/31/2023 with a NTE of $750k on
7/19/2023. Staff will seek the Board's
approval to extend the term to 6/30/2025
at NTE of $2,999,686 on 9/13/2023.
15 Southern California Edison 3/28/2021 See Notes See Notes 836,587.32 See Notes CCA Service Agreement. Contract term from 3/28/2021 to CCA termination date. Billing provided by SCE is set forth in SCE’s community choice aggregation tariff, as stated in SCE’s Electric Rule 23 and SCE’s rate schedules.
Yes
16 The Energy Authority 4/1/2022 9/3/2026 770,960.00 271,840.00 499,120.00 Scheduling Coordinator, Day Ahead Load Forecasting, and CRR Management Services. Full Service from Commencement Date to 9/3/2026. Amendment to add the load forecast service for $12,160.
Yes Yes - For the
additional service
scope of forecast
service fee for
$12,160
17 Zodiac Solutions LLC 3/1/2022 2/29/2024 260,000.00 109,560.00 150,440.00 Project Management - Strategic Marketing, Branding, Communications, and Public Education and Outreach Campaign/Program
Yes
18 CPS HR Consulting 6/26/2023 12/31/2023 54,000.00 9,000.00 45,000.00 Executive recruitment for the Chief Operating Officer and the Power Resources Director positions Yes 19 CPS HR Consulting 8/1/2023 7/31/2024 30,000.00 - 30,000.00 Executive recruitment for the Chief Executive Officer position Yes 20 The Energy Federation 7/1/2023 6/30/2024 400,000.00 50,000.00 350,000.00 Online marketplace services for residential energy efficient products and smart home devices Yes 21 Clean Peaks Energy Services 8/14/2023 2/13/2024 97,500.00 - 97,500.00 Project management services for customer account reversion from OCPA to SCE for the City of Huntington Beach Yes Remark:
Hana Park Place/LBA IV-PPI, LLC - On September 9, 2023, staff will seek the Board's approval to negotiate and execute with LBA for up to 12 months, starting from November 1, 2023, at a NTE of $250k. Additionally, staff will also seek the Board's approval to negotiate and execute up to a seven-year lease agreement with The Irvine Company for office space located at 15130 Barranca, Irvine, at a NTE of $1,900,000.
Orange County Printing Company - Approved by the Board on 4/19/2023, the contract term has been amended for one additional year (until 6/30/2024). The remaining NTE will cover FY2023/24 mailings which includes additional NEM phases, ongoing Post-Enrollment Notices, and the Power Content Label mailings.
Orange County Power Authority Contracts
As of September 30, 2023
Orange County Power Authority
Non Power Supply Contracts In Excess of $50,000 to Under $100,000 Item No Vendor Term Contract Amount Brief Service Description Remark 1 Clean Peaks Energy Services 8/14/2023 - 2/13/2024 $97,500 Project management services for customer account reversion from OCPA to SCE for the City of Huntington Beach