Redwood Coast Energy Authority
633 3rd Street, Eureka, CA 95501
Phone: (707) 269-1700 Toll-Free (800) 931-7232 Fax: (707) 269-1777 E-mail: [email protected] Web: www.redwoodenergy.org
BOARD OF DIRECTORS REGULAR MEETING AGENDA
Wharfinger Building, Bay Room (downstairs) October 24, 2024 1 Marina Way, Eureka, CA 95501 Thursday, 3:30 p.m.
Any member of the public needing special accommodation to participate in this meeting or access the meeting materials should email [email protected] or call (707) 269- 1700 at least 3 business days before the meeting. Assistive listening devices are available.
Pursuant to Government Code section 54957.5, all writings or documents relating to any item on this agenda which have been provided to a majority of the Board, including those received less than 72 hours prior to the Committee’s meeting, will be made available to the public at www.RedwoodEnergy.org.
NOTE: Speakers wishing to distribute materials to the Board at the meeting, please provide 13 copies to the Board Clerk.
THIS IS A HYBRID IN-PERSON AND VIRTUAL MEETING.
The RCEA Board of Directors holds in-person hybrid meetings. When attending, please socially distance as much as possible and be courteous to those who choose to wear a mask.
To participate in the meeting online, go to https://us02web.zoom.us/j/81972368051. To participate by phone, call (669) 900-6833 or (253) 215-8782. Enter webinar ID: 819 7236 8051.
To make a comment during the public comment periods, raise your hand in the online Zoom webinar, or press star (*) 9 on your phone to raise your hand. You will continue to hear the meeting while you wait. When it is your turn to speak, a staff member will prompt you to unmute your phone or computer. You will have 3 minutes to speak.
You may submit written public comment by email to [email protected].
Please identify the agenda item number in the subject line. Comments will be included in the meeting record but not read aloud during the meeting.
While downloading the Zoom application may provide a better meeting experience, Zoom does not need to be installed on your computer to participate. After clicking the webinar link above, click “start from your browser.”
1 RCEA October 24, 2024, Board of Directors Meeting Agenda
OPEN SESSION Call to Order
1. ROLL CALL - REMOTE DIRECTOR PARTICIPATION
1.1. Approve teleconference participation request for this meeting by Director pursuant to Brown Act revisions of AB 2449 due to an emergency circumstance to be briefly described.
2. REPORTS FROM MEMBER ENTITIES
3. ORAL AND WRITTEN COMMUNICATIONS
This time is provided for people to address the Board or submit written communications on matters not on the agenda.
At the conclusion of all oral communications, the Board may respond to statements. Any request that requires Board action will be set by the Board for a future agenda or referred to staff.
4. CONSENT CALENDAR
All matters on the Consent Calendar are considered to be routine by the Board and are enacted in one motion. There is no separate discussion of any of these items. If discussion is required, that item is removed from the Consent Calendar and considered separately. At the end of the reading of the Consent Calendar, Board members or members of the public can request that an item be removed for separate discussion.
4.1 Approve Minutes of September 26, 2024, Board Meeting.
4.2 Approve Disbursements Report.
4.3 Accept Financial Reports.
4.4 Accept Quarterly Regulatory and Legislative Policy Engagement Report.
4.5 Appoint Elizabeth Burks as RCEA Executive Director, and Approve the Agreement for Employment of Executive Director.
4.6 Authorize the Executive Director to Execute the 2024-2027 PG&E Funding Agreement for $32,178,044 Upon Final Review and Approval by RCEA General Counsel; and, Upon Full Execution, Authorize the Executive Director to Issue Solicitations for Consultant and Subcontractor Services to Implement the Northern California RuralREN in Regions Covered by PG&E funding.
4.7 Approve Resolution 2024-14 Approving the Form of and Authorizing the Execution of the Hatchery Road Solar A Feed-In Tariff Power Purchase Agreement with RPCA Solar 5, LLC.
5. REMOVED FROM CONSENT CALENDAR ITEMS
Items removed from the Consent Calendar will be heard under this section.
COMMUNITY CHOICE ENERGY (CCE) BUSINESS (Confirm CCE Quorum) Items under this section of the agenda relate to CCE-specific business matters that fall under RCEA’s CCE voting provisions, with only CCE-participating jurisdictions voting on these matters with weighted voting as established in the RCEA joint powers agreement.
2 RCEA October 24, 2024, Board of Directors Meeting Agenda
6. OLD CCE BUSINESS
6.1. Energy Risk Management Quarterly Report
Accept Energy Risk Management Quarterly Report.
6.2. Motion to Reconsider: Statewide Allocation of Carbon-Free Attributes from Diablo Canyon Nuclear Power Plant
Consider whether to make a motion to reconsider the Diablo Canyon Power Plant nuclear allocation due to clarification of the CCE voting process required to pass a motion on CCE business.
(If motion passes, the Board may discuss the matter again:) Direct staff on whether to accept the nuclear allocation, making a short-term exception to the RCEA Energy Risk Management Policy’s prohibition on nuclear power procurement, as allowed for in the Energy Risk Management Policy.
Provide guidance on strategic use of the nuclear allocation as a tool for cost savings or greenhouse reductions, should the Board elect to accept the allocation.
7. NEW CCE BUSINESS – None.
END OF COMMUNITY CHOICE ENERGY (CCE) BUSINESS
8. OLD BUSINESS – None.
9. NEW BUSINESS
9.1 Summary of RCEA-related Climate Action Plan implementation measures (Information only)
10. STAFF REPORTS
10.1 Interim Executive Director’s Report
11. FUTURE AGENDA ITEMS
Any request that requires Board action will be set by the Board for a future agenda or referred to staff.
12. ADJOURNMENT
NEXT REGULAR MEETING (Different day due to holiday.)
Wednesday, November 20, 2024, 3:30 p.m.
Wharfinger Building downstairs Bay Room, 1 Marina Way, Eureka, CA 95501 Online and phone participation will also be possible via Zoom. 3 This page
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STAFF REPORT
Agenda Item # 1.1
AGENDA DATE: October 24, 2024
TO: RCEA Board of Directors
FROM: Eileen Verbeck, Interim Executive Director
SUBJECT: Member Teleconference Participation
BACKGROUND
Since emergency Brown Act meeting law changes went into effect in 2020 due to the COVID-19 public health emergency, the RCEA Board of Directors, Community Advisory Committee (CAC) and the subcommittees of those bodies met online with no physical, public meeting location.
Governor Newsom signed AB 361 into law in September 2021, which allowed these bodies to continue meeting completely virtually without publishing each member’s participation location while the COVID state of emergency continued and state or local officials recommended social distancing measures or the RCEA Board determined that meeting in person posed health and safety risks.
The COVID-19 State of Emergency ended on February 28, 2023, and RCEA Board and CAC meetings returned to meeting in-person at a physical location, with allowances under existing Brown Act rules or new AB 2449 Brown Act rules should a Board or CAC member need to participate from a remote location for certain reasons. If another state of emergency is declared, these bodies may be able to return to completely remote meetings.
SUMMARY
RCEA Board Directors may attend up to two meetings per year from a remote location without making the location accessible to the public for the following reasons:
1. “Just cause”
a. To provide childcare or caregiving need to a child, parent, grandparent, grandchild, sibling, spouse, or domestic partner;
b. Due to a contagious illness that prevents the member from attending in-person; c. Due to a need related to a physical or mental disability as defined in Government Code sections 12926 and 12926.1 not otherwise accommodated; and d. Due to travel while on official business of the legislative body or another state or local agency.
2. “Emergency circumstance” due to a physical or family medical emergency that prevents the member from attending in person.
If a Board Director would like to attend the meeting remotely due to an emergency circumstance, the Board will take action by majority vote to approve the Director’s remote participation. A vote is not necessary for a request to attend remotely for just cause. A brief 5
description, protecting the Director’s (or Director’s family member’s) medical privacy, needs to be provided in both cases.
The remotely participating Board Director needs to publicly disclose at the meeting before any action (vote) is taken, whether anyone 18 years of age or older is present in the room at the remote location with the Director, and the general nature of the individual’s relationship with the Director.
If the Board Director anticipates needing to participate remotely for more than 2 meetings per year, staff recommends arranging for a publicly and ADA accessible space with visual and audio meeting capabilities from which to participate.
Staff asks to be notified one-week in advance, if possible, of remote meeting attendance so the Director’s publicly and ADA accessible remote meeting address can be published in the agenda, if required per Brown Act open meeting laws.
Current Remote Participation Requests
As of the writing of this staff report, there have been no remote director participation for “just cause” or “emergency circumstances” requests.
RECOMMENDED ACTION (if needed)
Approve teleconference participation request for this meeting by Director pursuant to Brown Act revisions of AB 2449 due to an emergency circumstance to be briefly described. 6 Redwood Coast Energy Authority
633 3rd Street, Eureka, CA 95501
Phone: (707) 269-1700 Toll-Free (800) 931-7232 Fax: (707) 269-1777 E-mail: [email protected] Web: www.redwoodenergy.org
BOARD OF DIRECTORS DRAFT MEETING MINUTES
Wharfinger Building, Bay Room September 26, 2024
1 Marina Way, Eureka, CA 95501 Thursday, 3:30 p.m.
Chair Sarah Schaefer called a regular meeting of the Board of Directors of the Redwood Coast Energy Authority to order on the above date at 3:36 p.m. Notice of this meeting was posted on September 23, 2024.
PRESENT: Vice Chair Scott Bauer, Alt. HBMWD Dir. Michelle Fuller (remote, just cause, medical), Skip Jorgensen, Jason Ramos, Elise Scafani, Chair Sarah Schaefer, Alt. County Dir. Mike Wilson. ABSENT: Natalie Arroyo, Kris Mobley, Frankie Myers, Jack Tuttle, Frank Wilson, Sheri Woo.
STAFF AND OTHERS PRESENT: Regulatory and Legislative Policy Manager Faith Carlson, Finance Specialist Ronnie Chaussé, Power Resources Director Richard Engel, Senior Power Resources Manager Jocelyn Gwynn, Demand-Side Management Director Stephen Kullmann, Board Clerk Lori Taketa, Interim Executive Director Eileen Verbeck. Closed session: Tripepi Smith Director Christine Martin.
ORAL AND WRITTEN COMMUNICATIONS
Fortuna resident Ernie Degraff submitted written comments in support of new nuclear power development.
CONSENT CALENDAR
4.1 Approve Minutes of August 22, 2024, Board Meeting.
4.2 Approve Disbursements Report.
4.3 Accept Financial Reports.
4.4 Approve Resolution 2024-10, Approving and Attesting to the Veracity of the 2023 Power Source Disclosure Report.
4.5 Adopt Resolution 2024-11 adopting a Procurement Policy, Investment Policy and amending the Financial Management Policy.
4.6 Approve Resolution 2024-12 Approving the Form of and Authorizing the Execution of the First Amendment to the Resource Adequacy Agreement with the Regents of the University of California.
4.7 Approve Resolution 2024-13 Approving the Form of and Authorizing the Execution of the Second Amendment to the North Coast Highway Solar 1 Power Purchase Agreement and the Second Amendment to the North Coast Highway Solar 2 Power Purchase Agreement Reducing Delay Damages Rates for the Feed-In Tariff Projects.
4.8 For the North Coast Plug-In Electric Vehicle Charging Network Phase 2 Construction Contract Award:
7 RCEA September 26, 2024, Board of Directors DRAFT Meeting Minutes
1. Determine that the Hooven & Reese and A.T.C. bids are responsive to IFB-24-505.
2. Reject the bid protest submitted by ACGC, inc. on September 20, 2024.
3. Award a contract for the installation of electric vehicle charging stations for the RCEA North Coast Plug-In Electric Vehicle Charging Network Expansion Project to Hooven & Reese Inc. in the amount of $142,414.30 for the McKinleyville and Arcata sites; and authorize the Executive Director to execute all applicable documents subject to RCEA General Counsel review.
There were no public comments nor Board discussion on any consent calendar item.
M/S: Bauer, Jorgensen: Approve the Consent Calendar.
The motion passed with a unanimous vote. Ayes: Bauer, Fuller, Jorgensen, Ramos, Scafani, Schaefer, M. Wilson. Noes: None. Absent: Mobley, Myers, Tuttle, F. Wilson.
Abstain: None.
NEW CCE BUSINESS
7.1.Interconnection Process Enhancements Request for Information Regulatory and Legislative Policy Manager Carlson and Power Resources Senior Manager Gwynn explained CAISO’s revised process for assessing energy projects for connection to the California electricity grid, and RCEA’s participation in scoring potential projects. The directors clarified that there are very few places within Humboldt County where new projects could connect to the CAISO-managed grid. There were no public comments on this item.
M/S: Bauer, Scafani: Authorize issuance of the Request for Information for CAISO Queue Cluster 15 Resources in accordance with the terms and conditions of the attached RFI Protocol and Commercial Interest Exclusivity Agreement.
The motion passed with a unanimous vote. Ayes: Bauer, Jorgensen, Scafani, Schaefer, M. Wilson. Noes: None. Absent: Mobley, Myers, Tuttle, F. Wilson. Abstain: None. Non-Voting: Fuller, Ramos.
7.2. Statewide Allocation of Carbon-Free Attributes from Diablo Canyon Nuclear Power Plant Regulatory and Legislative Policy Manager Carlson and Power Resources Director Engel reported on the Diablo Canyon nuclear power plant’s history and its contributions to California’s electricity grid reliability. California electricity customers are paying for Diablo Canyon’s operating costs and electricity providers have the option to accept Diablo Canyon clean energy credits to help pay for their share of state-required renewable energy investments. RCEA has not taken these credits because its Energy Risk Management Policy bans long-term nuclear energy procurement. Staff is asking the Board whether they want to make a short-term exception because the price of required clean energy credits has increased significantly and building local renewable energy projects to meet state requirements has been very difficult and slow. Diablo Canyon will not produce more energy if RCEA accepts the credit. RCEA could sell an equivalent amount of carbon-free hydropower for about $500,000 this year to counter a large, expected budget deficit. Staff are aware of two CCAs to date that have accepted the nuclear energy credits through Diablo Canyon’s retirement in 2030.
8 RCEA September 26, 2024, Board of Directors DRAFT Meeting Minutes
The Directors discussed:
• The state did not factor waste storage costs and hazards when classifying nuclear energy as a carbon-free energy.
• How accepting the Diablo Canyon credit increases transparency for RCEA customers because nuclear power would show up on their annual power source postcard.
Without taking the credit, the mailer will not include nuclear power even though customers will still pay to keep Diablo Canyon running. • How accepting or not accepting the allocation is a messaging issue. • Taking the credit might encourage new nuclear power plant development. • RCEA should add opposing new nuclear development to its policy platform. • It is important to consider RCEA’s long-term financial survival, and the risk of losing customers if its rates are not competitive with PG&E’s. • How RCEA could use the money it saves by taking the nuclear credit to lower rates, pay for anti-nuclear advocacy, and invest in more renewable energy projects. • How taking the nuclear credits could erode progress toward RCEA’s mission and make customers leave for PG&E.
Member of the public Craig Benson opposes accepting Diablo Canyon credits due to nuclear waste’s long-term dangers.
Community Advisory Committee members Colin Fiske and Kit Mann submitted comments as members of the public:
• Colin Fiske opposes accepting Diablo Canyon credits because this goes against why RCEA was created.
• Kit Mann supports accepting Diablo Canyon credits to ameliorate the climate catastrophe, even if it carries negative impacts.
Ryan Pickering supports accepting the nuclear credits due to cost savings and grid reliability.
Cal Poly Humboldt Associate Professor Jennifer Marlow asked RCEA for a ratepayer discussion on short-term financial benefits of accepting nuclear power credits versus the legacy of nuclear waste and investment in long-term nuclear fuel management.
Arcata resident Kathleen Marshall opposes accepting the nuclear power energy allocation, which would make RCEA more like PG&E.
Arcata resident Dave Ryan opposes accepting the nuclear attribute due to waste concerns.
Cal Poly Humboldt graduate student Alexander Brown asked whether accepting the clean energy credit could help with advocacy for relocating and responsibly storing nuclear waste.
Michael Welch of Redwood Alliance opposes accepting the nuclear energy allocation because of the dangers of storing nuclear waste and supporting nuclear industry goals.
David Weisman from Alliance for Nuclear Responsibility said the CPUC buried the cost of running Diablo Canyon in the generic public purposes program charges on customers’ bills.
Ratepayers will not save money but will pay $400 million in 2024-25 to operate the plant. 9 RCEA September 26, 2024, Board of Directors DRAFT Meeting Minutes
A director asked how CCE votes are calculated and Board Clerk Taketa responded that an affirmative vote of five CCE members and more than 50 votes was needed to pass a motion.
The Directors asked to discuss nuclear energy policy platform revisions at a future meeting.
M/S: Scafani, Jorgensen: Accept the Diablo Canyon nuclear allocation for the 2025 calendar year, and direct staff to present potential procurement savings uses to the Board at a future meeting.
The motion failed with the following vote. Ayes: Jorgensen, Scafani. Noes: Bauer, Schaefer, M. Wilson. Absent: Mobley, Myers, Tuttle, F. Wilson. Abstain: None. Non-Voting: Fuller, Ramos.
NEW BUSINESS
9.1 Rural Regional Energy Network North Administrative Actions – Administrative Consultant Contract and Termination of Previous RuralREN Memoranda of Understanding
Demand-Side Management Director Kullmann reported that the CPUC approved splitting the Rural Regional Energy Network (REN) into separate RENs for northern and central California. RCEA will administer the northern California REN which will run energy efficiency programs for homeowners and businesses, help local governments with efficiency codes and standards and contribute to energy efficiency workforce development and training. Staff Director Kullmann described past experience working with Frontier Energy. The Directors thanked Mr. Kullmann and staff for doing challenging work to create a REN for rural California residents. There was no public comment on this item.
M/S: Jorgensen, M. Wilson:
1. Award a contract with Frontier Energy for RuralREN North Administrative Services for a term of 2024-2027 and a not-to-exceed amount of $1,200,265 and Authorize the Interim Executive Director to execute all applicable documents subject to RCEA General Counsel review.
2. Authorize the Interim Executive Director to execute all documents to terminate the original RuralREN agreements subject to RCEA General Counsel review.
The motion passed with a unanimous vote. Ayes: Bauer, Fuller, Jorgensen, Ramos, Scafani, Schaefer, M. Wilson. Noes: None. Absent: Mobley, Myers, Tuttle, F. Wilson.
Abstain: None.
9.2 Addition and Reclassification of Staff Positions
Interim Executive Director Verbeck reported on the Tribal Energy Resilience and Sovereignty project’s progress and needs, and the need to unfreeze positions now that the Northern California Rural REN creation and funding are official. Staff will prepare a budget adjustment for the Board’s approval. There was no public comment on this item.
M/S: M. Wilson, Scafani:
Approve:
1. Addition of a TERAS Project Analyst position,
10 RCEA September 26, 2024, Board of Directors DRAFT Meeting Minutes
2. Unfreezing a DSM Manager Position and Reclassify as DSM Technician contingent on final approval of RuralREN North by the CPUC,
3. Unfreezing a DSM Specialist Position and Reclassify as DSM Coordinator contingent on final approval of RuralREN North by the CPUC,
4. Reclassifying Power Resource Specialist to Power Resource Analyst,
5. RCEA Organization Chart with approved changes.
The motion passed with a unanimous vote. Ayes: Bauer, Fuller, Jorgensen, Scafani, Schaefer, M. Wilson. Noes: None. Absent: Mobley, Myers, Tuttle, F. Wilson. Abstain:
Ramos.
STAFF REPORTS
10.1 Interim Executive Director’s Report (Information only) Interim Executive Director Verbeck reported that the County Planning Commission approved the North Coast Highway Solar project, an RCEA feed-in tariff project. Constructed started on the Foster Avenue solar feed-in tariff projects. The Sandrini Solar project developers are planning a ribbon cutting in November 2024 or early 2025. Staff will coordinate if Board members would like to attend. There was no public comment on this item.
FUTURE AGENDA ITEMS
Directors requested information on how to advocate at the legislature and CPUC for CCA survival. CalCCA is considering reopening Power Charge Indifference Adjustment (PCIA) proceedings in 2025 because they anticipate a big PCIA change that could hurt CCAs like RCEA.
CLOSED SESSION
12.1 Public Employment, pursuant to Government Code Section 54957: Executive Director recruitment.
There was no public comment on the closed session agenda item. The Directors convened in closed session at 5:43 p.m. and reconvened in open session at 5:59 p.m. Vice Chair Bauer stated there was no closed session report and adjourned the meeting at 6 p.m.
Lori Taketa
Board Clerk
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12 Accrual Basis Redwood Coast Energy Authority
Disbursements Report
As of August 31, 2024
Type Date Num Name Memo Amount
Bill Pmt -Check 08/01/2024 WIRE PG&E Voluntary Allocation Feb 2024 - VA Long term & Short term -76,816.01 Liability Check 08/02/2024 ACH Ascensus Paydate 08/02/2024 -12,302.81 Liability Check 08/02/2024 ACH EDD Paydate 08/02/2024 -7,634.66 Liability Check 08/02/2024 ACH Internal Revenue Service Paydate 08/02/2024 -34,056.69 Liability Check 08/02/2024 ACH Ascensus Paydate 08/02/2024 -11,292.88 Check 08/02/2024 18488 NEM Customer NEM Account Close Out-Reissued -503.42 Check 08/02/2024 18489 NEM Customer 2023 NEM Yearly Payout-Reissued -121.25 Check 08/02/2024 18490 CCE Customer CCE Equipment Rebate - 240612-2122 -50.00 Check 08/02/2024 18491 CCE Customer CCE Equipment Rebate - 240623-2130 -50.00 Check 08/02/2024 18492 CCE Customer CCE Equipment Rebate - 240627-2140 -150.00 Check 08/02/2024 18493 CCE Customer CCE Heat Pump Rebate - 240606-2115 -1,050.00 Check 08/02/2024 18494 CCE Customer CCE Heat Pump Rebate - 240521-2094 -1,050.00 Check 08/02/2024 18495 CCE Customer Res EVSE rebate #REVSE52 -297.84 Check 08/02/2024 18496 CCE Customer Res EVSE rebate #REVSE53 -297.84 Check 08/02/2024 18497 CCE Customer Res EVSE rebate #REVSE54 -245.82 Check 08/02/2024 18498 CCE Customer Res EV rebate #EV20 -2,000.00 Check 08/02/2024 18499 CCE Customer Res EV rebate #EV23 -2,000.00 Check 08/02/2024 18500 CCE Customer Res EV rebate #EV24 -2,000.00 Bill Pmt -Check 08/02/2024 18501 Adventures Edge June 2024: 1 E-Bike Voucher -500.00 Bill Pmt -Check 08/02/2024 18502 Ascensus 03/01/2024-05/31/2024 Recordkeeping Fee -966.50 Bill Pmt -Check 08/02/2024 18503 Blue Lake Rancheria REVNet usage 04/01-06/30/2024 -868.17 Bill Pmt -Check 08/02/2024 18504 Boudreau, D. July 2024 Purchase and Mileage Reimb -97.69 Bill Pmt -Check 08/02/2024 18505 Campton Electric Supply Smoke Alarm Batteries for 633 3rd -46.21 Bill Pmt -Check 08/02/2024 18506 City of Arcata REVNet usage 04/01-06/30/2024 -1,337.44 Bill Pmt -Check 08/02/2024 18507 City of Blue Lake REVNet usage 04/01-06/30/2024 -845.30 Bill Pmt -Check 08/02/2024 18508 City of Eureka - REVNet REVNet usage 04/01-06/30/2024 -1,010.94 Bill Pmt -Check 08/02/2024 18509 City of Eureka - Wharfinger Bay Room rentals -910.00 Bill Pmt -Check 08/02/2024 18510 City of Trinidad REVNet usage 04/01-06/30/2024 -764.20 Bill Pmt -Check 08/02/2024 18511 Developed Employment Services, LLC. 805 3rd St. Yard work -182.51 Bill Pmt -Check 08/02/2024 18512 Humboldt HyCycle July 2024: 1 E-Bike Voucher -1,000.00 Bill Pmt -Check 08/02/2024 18513 iPROMOTEu.com, Inc July 2024: event/promotional materials -2,633.56 Bill Pmt -Check 08/02/2024 18514 Killpatrick, S. July 2024 MIleage Reimbursement -81.71 Bill Pmt -Check 08/02/2024 18515 Mad River Union Ad in Oyster Festival Guide-2024 -340.00 Bill Pmt -Check 08/02/2024 18516 Newport Group Participant Fees - 07/01-09/30/2024 -978.74 Bill Pmt -Check 08/02/2024 18517 North Coast Unified Air Quality REVNet usage 04/01-06/30/2024 -1,047.44 Bill Pmt -Check 08/02/2024 18518 Northern CA Safety Consortium CPR & First Aid Training- S. Lorenzini -85.00 Bill Pmt -Check 08/02/2024 18519 NYLEX.net, Inc. Onsite support services - August 2024 -3,690.00 Bill Pmt -Check 08/02/2024 18520 Open Door REVNet usage 04/01-06/30/2024 -654.52 Bill Pmt -Check 08/02/2024 18521 PG&E CCA June 2024 CCA Billing Services -21,648.55 Bill Pmt -Check 08/02/2024 18522 PG&E EV Account EV stations 06/13-07/14/2024 -2,342.88 Bill Pmt -Check 08/02/2024 18523 PG&E Office Utility 06/13-07/14/2024 utilities for 633 3rd Street -1,247.32 Bill Pmt -Check 08/02/2024 18524 Pierson Building Center July 2024: facility repair supplies -42.37 Bill Pmt -Check 08/02/2024 18525 Premier Financial Group Advisory Fee for Q3 2024 -5,475.21 Bill Pmt -Check 08/02/2024 18526 Rennie, J June 2024 and July 2024 Mileage -48.37 Bill Pmt -Check 08/02/2024 18527 Revolution Bicycles July 2024: 1 E-Bike Voucher -500.00 Bill Pmt -Check 08/02/2024 18528 Rodriguez, Louis June 2024 & July 2024 Purchase Reimb -119.63 Bill Pmt -Check 08/02/2024 18529 St. Joseph Hospital REVNet usage 04/01-06/30/2024 -2,274.38 Bill Pmt -Check 08/02/2024 18530 Times Printing Company July 2024: mailer printing/postage -2,297.83
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Disbursements Report
As of August 31, 2024
Type Date Num Name Memo Amount
Paycheck 08/02/2024 ACH Employees Paydate 08/02/2024 -82,193.99 Bill Pmt -Check 08/15/2024 ACH The Energy Authority Special Invoice- Capacity Sales Oct 2024 -28,132.50 Bill Pmt -Check 08/15/2024 ACH The Energy Authority TEA Invoice #TEA 72024 July 2024 -4,120,830.26 Liability Check 08/16/2024 ACH Ascensus Paydate 08/16/24 -11,397.99 Liability Check 08/16/2024 ACH EDD Paydate 08/16/24 -7,592.18 Liability Check 08/16/2024 ACH Internal Revenue Service Paydate 08/16/24 -33,727.13 Liability Check 08/16/2024 ACH Ascensus Paydate 08/16/24 -13,688.51 Bill Pmt -Check 08/16/2024 ACH Humboldt Sawmill Co. July 2024 Electricity Generation -698,908.34 Bill Pmt -Check 08/16/2024 ACH Leapfrog Power, Inc July 2024 RA Invoice -36,740.00 Bill Pmt -Check 08/16/2024 ACH Viridity Energy Solutions, Inc. Tierra Buena RA-July 2024 -16,900.00 Check 08/16/2024 ACH VISA VISA 2291: Stmt 06/21/2024-07/19/2024 -17,889.30 Check 08/16/2024 18531-41 NEM Customers NEM Account Closeouts -2,476.50 Check 08/16/2024 18542 NEM Customer 2023 NEM Yearly Payout-Reisued -279.63 Check 08/16/2024 18543 CCE Customer Res EV rebate #EV19 -2,000.00 Check 08/16/2024 18544 CCE Customer Res EV rebate #EV26 -2,000.00 Check 08/16/2024 18545 CCE Customer Res EV rebate #EV27 -2,000.00 Check 08/16/2024 18546 CCE Customer Res EV rebate #EV28 -2,000.00 Check 08/16/2024 18547-59 CCE Customers CCE Equipment Rebates -2,250.00 Check 08/16/2024 18560-69 CCE Customers CCE Heat Pump Rebates -10,512.50 Bill Pmt -Check 08/16/2024 18570 Adventures Edge July 2024: 1 E-Bike Voucher -700.00 Bill Pmt -Check 08/16/2024 18571 Aiqueous, LLC July 2024: database services -562.50 Bill Pmt -Check 08/16/2024 18572 Arcata Technology Center REVNet usage 04/01-06/30/2024 -755.31 Bill Pmt -Check 08/16/2024 18573 AT&T RCAM Router charges - 06/19-07/18/24 -163.00 Bill Pmt -Check 08/16/2024 18574 AT&T RCAM charges: 07/29-08/28/24 -921.20 Bill Pmt -Check 08/16/2024 18575 Braun Blaising & Wynne Legal Services - Regulatory -June 2024 -4,274.70 Bill Pmt -Check 08/16/2024 18576 City of Arcata July 2024 Utility User Tax -18,652.35 Bill Pmt -Check 08/16/2024 18577 City of Arcata July 2024 Excessive Energy Use Tax -1,259.87 Bill Pmt -Check 08/16/2024 18578 City of Eureka-Water 917 3rd St & 633 3rd St: Water & sewer bills -351.05 Bill Pmt -Check 08/16/2024 18579 Developed Employment Services, LLC. 805 3rd St. Yard work -112.27 Bill Pmt -Check 08/16/2024 18580 Law Offices of Nancy Diamond July 2024 Legal Services -13,271.20 Bill Pmt -Check 08/16/2024 18581 Donald Dame CCE Consulting services- July 2024 -204.75 Bill Pmt -Check 08/16/2024 18582 Engel, R. July 2023 Mileage Reimb -36.18 Bill Pmt -Check 08/16/2024 18583 Hilson, D. Mileage reimbursement - July 2024 -18.09 Bill Pmt -Check 08/16/2024 18584 HireRight Background screening -105.25 Bill Pmt -Check 08/16/2024 18585 HSU - Sponsored Programs Foundation RCAM O&M: Apr & May 2024 Personnel -3,235.00 Bill Pmt -Check 08/16/2024 18586 Humboldt Bay Coffee Co. Office Coffee -86.50 Bill Pmt -Check 08/16/2024 18587 Law Office of David Peffer Feb and Mar 2024 RuralREN regulatory support -19,516.00 Bill Pmt -Check 08/16/2024 18588 Local Worm Guy July 2024 Compost service 633 & 917 3rd St -84.00 Bill Pmt -Check 08/16/2024 18589 Mission Linen & Uniform Service July 2024- Office Maintenance service -91.17 Bill Pmt -Check 08/16/2024 18590 North Coast Cleaning Services, Inc. July 2024- Office Maintenance service -1,090.00 Bill Pmt -Check 08/16/2024 18591 Optimum Business-633 633 3rd St: Phone & Internet 07/28-08/27/2024 -1,103.12 Bill Pmt -Check 08/16/2024 18592 PG&E - ACV ACV site utilities 06/27-07/25/2024 -405.71 Bill Pmt -Check 08/16/2024 18593 PG&E EV Account H St EV station: 07/05-08/04/2024 -315.83 Bill Pmt -Check 08/16/2024 18594 Recology Humboldt County Act 060703330, 633 3rd St. July 2024 -110.05 Bill Pmt -Check 08/16/2024 18595 Recology Humboldt County Act 061371327, 917 3rd St. July 2024 -74.54 Bill Pmt -Check 08/16/2024 18596 Tripepi Smith and Associates, Inc. M2 of Executive Director Recruitment fee -7,422.00 Bill Pmt -Check 08/16/2024 18597 Ubeo Business Services 633 3rd St Printer Charges: 07/06-08/05/24 -161.48 Paycheck 08/16/2024 ACH Employees Paydate 08/16/2024 -81,257.13
14 Accrual Basis Redwood Coast Energy Authority
Disbursements Report
As of August 31, 2024
Type Date Num Name Memo Amount
Check 08/20/2024 Debit Umpqua Service Charge -185.93
Liability Check 08/30/2024 ACH Ascensus Paydate 08/30/24 -12,613.69 Liability Check 08/30/2024 ACH Ascensus Paydate 08/30/24 -11,356.80 Liability Check 08/30/2024 ACH EDD Paydate 08/30/24 -8,072.44 Liability Check 08/30/2024 ACH Internal Revenue Service Paydate 08/30/24 -36,086.75 Liability Check 08/30/2024 ACH CICCS Coalition for Controlling Insurance August 2024 EAP -64.94 Liability Check 08/30/2024 ACH Keenan Sept 2024 Health Ins. Premiums -36,814.08 Liability Check 08/30/2024 ACH Colonial Life Sept 2024 Supplemental Ins. Premiums -3,441.24 Bill Pmt -Check 08/30/2024 ACH CalPine Corporation July 2024 CCA services -63,826.42 Bill Pmt -Check 08/30/2024 ACH Viridity Energy Solutions, Inc. Tierra Buena RA-August 2024 -16,900.00 Bill Pmt -Check 08/30/2024 WIRE CA Community Power Annual membership & project participant fees -166,853.88 Bill Pmt -Check 08/30/2024 WIRE PG&E Voluntary Allocation Mar 2024 VA Long term & Short term -105,567.60 Liability Check 08/30/2024 18598 Ameritas - Dental Sept 2024 Premiums -1,856.92 Liability Check 08/30/2024 18599 Ameritas - Vision Sept 2024 Premiums -340.72 Check 08/30/2024 18600-06 CCE Customers CCE Equipment Rebates -2,000.00 Check 08/30/2024 18607-10 CCE Customers CCE Heat Pump Rebates -3,925.00 Check 08/30/2024 18611 CCE Customers Res EV rebate #EV21 -2,000.00 Check 08/30/2024 18612 CCE Customers Res EV rebate #EV22 -1,000.00 Check 08/30/2024 18613 CCE Customers Res EV rebate #EV25 -4,000.00 Check 08/30/2024 18614 CCE Customers Res EV rebate #EV29 -4,000.00 Bill Pmt -Check 08/30/2024 18615 Alber's Tractor and Ag Work Mowing services for ACV solar site -1,500.00 Bill Pmt -Check 08/30/2024 18616 Amazon.com Monthly billing - July 2024 -3,052.58 Bill Pmt -Check 08/30/2024 18617 AT&T Long Distance Phone charges 07/25 - 08/24/2024 -119.20 Bill Pmt -Check 08/30/2024 18618 Bithell, M. 07/2024 & 08/2024 Mileage Reimb. -117.92 Bill Pmt -Check 08/30/2024 18619 Boudreau, D. August 2024 Mileage Reimbursement -27.47 Bill Pmt -Check 08/30/2024 18620 Carter Properties, LLC 917 3rd Street Office - Sept 2024 rent -2,375.00 Bill Pmt -Check 08/30/2024 18621 Developed Employment Services, LLC. 805 3rd St. Yard work -107.42 Bill Pmt -Check 08/30/2024 18622 HSU - Sponsored Programs Foundation May & June 2024 RCAM O&M -10,099.65 Bill Pmt -Check 08/30/2024 18623 Humboldt HyCycle E-Bike Vouchers -1,200.00 Bill Pmt -Check 08/30/2024 18624 Law Offices of Susie Berlin July 2024 - RuralREN Reg/Legal Support -4,836.00 Bill Pmt -Check 08/30/2024 18625 Mission Linen & Uniform Service Aug 2024 office maintenance service & supplies -148.64 Bill Pmt -Check 08/30/2024 18626 NYLEX.net, Inc. Onsite support services - Sept 2024 -3,690.00 Bill Pmt -Check 08/30/2024 18627 Petty Cash Replenish petty cash for July-Aug 2024 -25.29 Bill Pmt -Check 08/30/2024 18628 PG&E CCA July 2024 CCE billing service -21,648.76 Bill Pmt -Check 08/30/2024 18629 PG&E EV Account EV stations 07/15-08/13/2024 -2,244.11 Bill Pmt -Check 08/30/2024 18630 PG&E Office Utility 07/08-08/05/2024 utilities for 917 3rd Street -334.20 Bill Pmt -Check 08/30/2024 18631 PG&E Office Utility 07/15-08/13/2024 utilities for 633 3rd Street -1,099.45 Bill Pmt -Check 08/30/2024 18632 Pierson Building Center 633 3rd St: Facility supplies-tank lever -19.65 Bill Pmt -Check 08/30/2024 18633 Revolution Bicycles August 2024: 1 E-Bike Voucher -500.00 Bill Pmt -Check 08/30/2024 18634 Scrapper's Edge Printing - Addt'l E-Bike Vouchers -57.26 Bill Pmt -Check 08/30/2024 18635 Shred Aware Shredding services - Aug 2024 -68.95 Bill Pmt -Check 08/30/2024 18636 Stitch Witch Logo gear -292.95 Bill Pmt -Check 08/30/2024 18637 Times Printing Company Aug 2024, mailer printing/postage -2,021.13 Bill Pmt -Check 08/30/2024 18638 Watson, D. August 2024 MIleage Reimb. -111.22 Bill Pmt -Check 08/30/2024 18639 Westside Community Improvement Assn. Venue Rental: 5/14 & 7/09 CAC meetings -450.00 Bill Pmt -Check 08/30/2024 18640 Winzler, John Office Lease - 633 3rd St., Sept 2024 -7,946.31 Paycheck 08/30/2024 ACH Employees Paydate 08/30/24 -86,429.69 TOTAL -6,085,244.03
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left blank.
16 Redwood Coast Energy Authority
Profit & Loss Budget vs. Actual
July through August 2024
Jul - Aug 24 Budget % of Budget
Ordinary Income/Expense
Income
5 REVENUE EARNED
Total 5000 · Revenue - government agencies 270,519.52 1,375,000.00 19.67% Total 5100 · Revenue - program related 1,853,325.79 50,000.00 3,706.65% Total 5300 · Revenue - interest on deposits 299.74 0.00 100.0% Total 5400 · Revenue-nongovernment agencies 51,707.50 413,000.00 12.52% Total 5500 · Revenue - Electricity Sales 13,049,963.92 68,501,255.00 19.05% Total 5 REVENUE EARNED 15,225,816.47 70,339,255.00 21.65% Total Income 15,225,816.47 70,339,255.00 21.65%
Gross Profit 15,225,816.47 70,339,255.00 21.65%
Expense
Total 6 WHOLESALE POWER SUPPLY 10,919,468.32 61,063,849.00 17.88% Total 7 PERSONNEL EXPENSES 695,809.40 5,251,342.00 13.25% Total 8.1 FACILITIES AND OPERATIONS 250,395.46 979,125.00 25.57% Total 8.2 COMMUNICATIONS AND OUTREACH 11,286.25 114,150.00 9.89%
8.4 PROFESSIONAL & PROGRAM SRVS
8400 · Regulatory 20,651.64 164,300.00 12.57%
8410 · Contracts - Program Related Ser 584.50 1,418,600.00 0.04% 8420 · Accounting 0.00 60,000.00 0.0%
8430 · Legal 23,339.80 185,000.00 12.62%
8450 · Wholesale Services - TEA 140,953.94 817,124.00 17.25% 8460 · Procurement Credit - TEA 23,035.78 639,430.00 3.6% 8470 · Data Management - Calpine 127,773.68 855,276.00 14.94% 8480 · Customer Billing - PG&E 43,336.86 272,714.00 15.89% Total 8.4 PROFESSIONAL & PROGRAM SRVS 379,676.20 4,412,444.00 8.61% Total 8.6 INCENTIVES & REBATES 61,759.77 230,000.00 26.85% Total 9 NON OPERATING COSTS 9,921.97 129,000.00 7.69%
Total Expense 12,328,317.37 72,179,910.00 17.08%
Net Ordinary Income 2,897,499.10 -1,840,655.00 -157.42% Net Income 2,897,499.10 -1,840,655.00 -157.42%
17 Redwood Coast Energy Authority
Balance Sheet
As of August 31, 2024
Aug 31, 24
ASSETS
Current Assets
Checking/Savings
1010 · Petty Cash 300.00
1060 · Umpqua Checking Acct 0560 889,293.64
1071 · Umpqua Deposit Cntrol Acct 8215 15,860,783.85
1075 · Umpqua Reserve Account 2300 10,000,000.00
1077 · JP Morgan Chase Act 74999 399,967.48
Total Checking/Savings 27,150,344.97
Total Accounts Receivable 47,218.70
Other Current Assets
1101 · Allowance for Doubtful Accounts -7,274,041.56
1103 · Accounts Receivable-Other 18,900,095.31
1120 · Inventory Asset 18,614.90
1205 · Prepaid Insurance 62,066.27
1210 · Retentions Receivable 27,713.45
Total Other Current Assets 11,734,448.37
Total Current Assets 38,932,012.04
Total Fixed Assets 9,589,221.91
Other Assets
1700 · Security Deposits 4,201,703.60
Total Other Assets 4,201,703.60
TOTAL ASSETS 52,722,937.55
LIABILITIES & EQUITY
Liabilities
Current Liabilities
Total Accounts Payable 4,350,480.73
Total Credit Cards 19,524.44
Other Current Liabilities
2002 · Deposits Refundable 979,170.01
2011 · NEM Escrow Liability 100,595.37
Total 2100 · Payroll Liabilities 181,345.52
Total 2200 · Accrued Expenses 26,217.33
Total Other Current Liabilities 1,287,328.23
Total Current Liabilities 5,657,333.40
Total Long Term Liabilities 5,942,119.90
Total Liabilities 11,599,453.30
Equity
3900 · Fund Balance 38,225,987.66
Net Income 2,897,496.59
Total Equity 41,123,484.25
TOTAL LIABILITIES & EQUITY 52,722,937.55
18
STAFF REPORT
Agenda Item # 4.4
AGENDA DATE: October 24, 2024
TO: Board of Directors
PREPARED BY: Faith Carlson, Regulatory and Legislative Policy Manager SUBJECT: RCEA Regulatory and Legislative Report
BACKGROUND
The RCEA Board of Directors adopted the RCEA 2024 Policy Platform in March 2024 to serve as a guide for RCEA’s staff regulatory and legislative engagement based on the principles set forth in RCEA’s RePower Humboldt strategic plan.
In accordance with the procedures as described in the Platform, staff keeps the Board appraised of legislative stances taken by RCEA through periodic reports summarizing RCEA’s legislative engagement. This update covers staff actions taken since May 2024.
STAFF REGULATORY AND LEGISLATIVE ENGAGEMENT
By law, RCEA abides by the mandates and regulations of several governing institutions within the state of California, including the California Energy Commission (CEC), California Public Utilities Commission (CPUC), California Independent System Operator (CAISO), California Air Resources Board (CARB), and others.
RCEA engages with governing bodies through a few advocacy groups, both for regulatory and legislative issues. The key advocacy groups RCEA participates in are California Community Choice Association (CalCCA) and Joint CCAs. These groups track, draft and submit comment on, and engage in stakeholder groups on issues brought to their attention by their membership.
A summary of CalCCA positions on various bills from this session is attached, as well as a list of key regulatory topics in which CalCCA or Joint CCAs engage.
RCEA has conducted individual advocacy as listed below:
• Direct engagement with CAISO:
o RCEA staff has met with CAISO 1:1 to discuss topics such as:
Interconnection Process Enhancements,
Resource Adequacy for new and existing microgrids,
Resource Adequacy for new and existing Energy Only projects, 19
The relationship between transmission and distribution planning and the challenges faced by RCEA and Humboldt County in these areas, Our questions and needs for offshore wind and the associated transmission infrastructure, such as gas curtailment and retirement, ability to power loads with offshore wind, and interconnection of new resources. • CEC Tidal and Wave Energy
o Last quarter, the CEC commenced work on the SB 605 Offshore Wave and Tidal Energy report in the 2024 Integrated Energy Policy Report docket. o August 2024, RCEA submitted formal comments generally in support of wave energy with these key recommendations:
RCEA encourages the exploration of demonstration or research scale projects along the California Coast in advance of an eventual larger roll out to better understand costs, benefits, risks, and potential environmental and social impacts.
RCEA urges the CEC to encourage co-location and integration with other large energy infrastructure to bring costs and environmental footprint down. Early engagement with host communities is necessary.
• CEC Clean Transportation Program
o In July of 2024, the CEC held a Staff Pre-Solicitation Workshop for Medium- and Heavy Duty (MDHD) Zero-Emission Vehicles and Infrastructure related to implementation funding for those who were previously awarded funds to generate MD/HD Blueprints.
o In August of 2024, RCEA filed comments from our perspective as a rural county and past funding recipient. Our comments encourage the CEC to amend the requirements to be considered for the next round of funding to be more inclusive of rural and low-income recipients, namely by allowing lower total EV charging port counts to be eligible.
RCEA has conducted joint advocacy as listed below:
• Federal advocacy for TERAS (Tribal Energy Resilience and Sovereignty) project funding:
o RCEA joined the TERAS partners (Blue Lake Rancheria, Hoopa, Karuk, Yurok, and Schatz Energy Research Center) in engagement with Senator Alex Padilla, Congressman Jared Huffman, and Congressman Adam Schiff, requesting the representatives to encourage the US Department of Energy (DOE) to fund the project as well as find flexibility with the funding match requirement. o Congressman Huffman visited the area on two separate occasions. During his first visit, the Congressman came to the RCEA office and met with partners to be briefed on the project and discuss major requests. He later returned, joined by Congressman Schiff, for an updated briefing, panel with the partners, and tour of the Blue Lake Rancheria microgrid.
20
• Direct engagement with CAISO:
o RCEA staff has met with CAISO alongside community partners via a meeting facilitated by COREHub (the Redwood Region Climate and Community Resilience Hub). Staff discussed topics including:
Resource Adequacy for new and existing microgrids,
Navigating the CAISO study process for TERAS projects, The relationship between transmission and distribution planning and the challenges faced by RCEA and Humboldt County in these areas, Our questions and needs for offshore wind and the associated transmission infrastructure, such as gas curtailment and retirement, ability to power loads with offshore wind, and interconnection of new resources. • Energy Efficiency Programming
o RCEA, alongside Ava Community Energy, MCE, Peninsula Clean Energy, San Diego Community Power, and San Jose Clean Energy drafted and circulated a letter to legislators, the Governor’s office, and other relevant parties encouraging the preservation of energy efficiency program funding.
o The letter:
Encourages a focus on affordability while maintaining energy efficiency funding,
Highlights the low cost of these programs in customer energy bills, Addresses the bill saving and equity impacts of energy efficiency programming,
Highlights the impact energy efficiency programs have had towards reaching policy goals, such as load shifting.
ALIGNMENT WITH RCEA’S STRATEGIC PLAN
RCEA’s Policy Platform is guided by RCEA’s Strategic Plan. Whenever making advocacy decisions for a given proceeding or issue, RCEA staff references the Policy Platform, and if the topic is not well defined within the platform, consults the Board.
EQUITY IMPACTS
This report reflects legislation that is intended to improve CCAs’ abilities to tailor services to meet the needs of their local communities which are often unique in their constituent marginalized populations.
FINANCIAL IMPACT
N/A
STAFF RECOMMENDATION
Accept quarterly Regulatory and Legislative Policy Engagement Report. 21
ATTACHMENTS
1. CalCCA Bill Positions
2. CalCCA and Joint CCA Regulatory Engagement
22 1
CalCCA and Joint CCA Regulatory Engagement
CalCCA Managed Cases
Key Agency Topic Summary
CA Appellate
Court
CCA Autonomy Addresses whether or not the CPUC has
the right to limit CCA territory expansion if
a CCA is not compliant with the CPUC
Resource Adequacy (RA) Program.
CPUC Demand Flexibility Focuses on leveraging demand response as a critical resource in integrated
resource planning, which includes
ratemaking. Current issues include the
implementation of the Income Graduated
Fixed Charge (IGFC) and Dynamic Rates.
CPUC Distribution: Distributed Energy
Resources.
Relates to rules surrounding distributed
energy resource, such as cost
effectiveness, data access, and equipment
performance standards.
CPUC Distribution: Energization
Timelines
Implementation of SB 410 and AB 50,
which focus on the establishment of
reasonable average and maximum
energization target time periods, and
procedures for customers to report
energization delays to the CPUC. Targets
have been established. The next phase of
the proceeding covers compliance
reporting and penalties for non-compliance.
CPUC Distribution: High Distributed
Energy Resource Future
Streamlining of the distribution planning
process to faster, better reflect known
loads and resources, and allow for data
access. Also covers smart inverter use
cases and cost recovery for grid
modernization.
CEC Integrated Energy Policy Report
(IEPR)
A holistic biennial report assessing energy
issues facing the state. The preparation of
this report includes the load forecasting
process, which drives energy planning and
procurement requirements for Load
Serving Entities.
CPUC Integrated Resource Planning
(IRP)
Focuses on the implementation and
reform of California’s Integrated Resource
Planning (IRP) program to ensure sufficient
resource procurement and development
23 2
CalCCA Managed Cases
Key Agency Topic Summary
and compliance with California’s GHG
(Green House Gas) reduction and
reliability goals. This process feeds into the
state’s Transmission Planning Process at
CAISO. This proceeding recently resulted in
a need determination for a Central
Procurement Entity (CPE) for Long Lead
Time (LLT) resources, including Offshore
Wind (OSW). This proceeding is expected
to soon focus on reforms to better align
the IRP program with the Resource
Adequacy (RA) and Renewables Portfolio
Standards (RPS) programs through an
initiative called the Renewable and Clean
Power Procurement Program (RCPPP).
CAISO Interconnection Process
Enhancements (IPE), Maximum
Import Capability (MIC), and
Transmission Planning Process.
CAISO is responsible for bulk power
systems, transmission operation, and
California’s electricity market
participation. Current reforms are related
to the acceleration of the interconnection
study process for new resources,
transmission capacity/transmission plan
deliverability to resources for RA eligibility,
import capability for out of state
resources, and transmission planning.
CPUC Provider of Last Resort (POLR) If a Load Serving Entity (LSE), such as a CCA, ceases business operations, their
customers will be returned to the Provider
of Last Resort (POLR). This proceeding
relates to the Financial Security Rating
(FSR) and monitoring needed to mitigate
that risk. This proceeding has recently
moved into Phase 2, which will delve into
topics related to the feasibility of a non-IOU POLR.
CPUC and
CEC
Renewable Portfolio Standard
(RPS)
Program that required load serving
entities to reach continuously escalating
renewable energy procurement goals.
CEC, CPUC,
and CARB
Renewable Energy Credit (REC)
Delays
Due to a technical issue in Western
Renewable Energy Generation Information
System (WREGIS) software, Load Serving
24 3
CalCCA Managed Cases
Key Agency Topic Summary
Entities (LSEs) are facing delays with
Renewable Energy Credit (REC) allocation.
CalCCA has successfully advocated for
compliance extensions to the affected
agency reports.
CPUC and
CAISO
Resource Adequacy (RA) Focuses on the implementation and reform of California’s Resource Adequacy
(RA) program, which was designed in
response to California’s energy crisis to
ensure safe and reliable operation of the
grid. Current activity on this proceeding is
related to coordination of Resource
Adequacy (RA) and Integrated Resource
Planning (IRP) processes at the CPUC and
Resource Adequacy (RA) modeling at
CAISO.
25 4
Joint CCA Managed Cases
Key Agency Topic Summary
CPUC BioMAT This issue is largely in the implementation phase at this time, though there is ongoing
regulatory effort to extend the sunset date
of this program.
CEC, CPUC Building Decarbonization A suite of programs that aim to reduce Green House Gas (GHG) emissions from
buildings.
CPUC Community Renewable
Programs, namely:
Disadvantaged Community
Green Tariff (DAC-GT),
Community Solar Green Tariff
(CS-GT), and Green Tariff Shared
Renewables (GTSR)
This issue is tracked by CCAs who
administer specific CPUC approved
community solar programs. Recent activity
has been related to the reporting, scoring,
and modification of these programs.
CPUC De-Energization Rulemaking related to utility power shutoff.
CEC, CPUC Demand Response and Energy
Efficiency
This issue is tracked by CCAs who
administer some demand response
programming.
CPUC Microgrids Rulemaking that addresses microgrid
policy, including programs, rules, and
rates.
CPUC Net Billing Tariff (NBT) Rulemaking related to the development and implementation of Net Billing Tariff
(NBT) and related rates.
CPUC PG&E Safety Culture This issue focuses on wildfire management related issues, including PG&E compliance,
and proactive measures such as
undergrounding.
CPUC and
CEC
Renewable Financing Issues tracked related to On-Bill Financing, Tariff-On-Bill, Go Green Financing, and
other funding efforts.
CEC, CPUC,
and CARB
Transportation Electrification CPUC proceeding of Transportation Electrification Policy and Infrastructure
(TEPI), and updates to CARB Low Carbon
Fuel Standard (LCFS) implementation,
targets, and compliance. Potential for
future engagement with CARB related to
the delay of the e-bike rebate.
26
CalCCA Bill Positions
Affordability Legislation
Bill Author Position Status Summary
AB 1834 Garcia Support Vetoed Clarifies that the identified reliability needs for the Publicly Owned Utility (POU) is determined by the Publicly Owned Utility (POU) and not the Department of Water Resources (DWR) or CPUC.
AB 2672 Petrie-NorrisSupport Chaptered Expands CARE eligibility to public housing authority owned or administered Homekey group housing facilities.
SB 1130 Bradford Support Chaptered Removes the requirement for 3 people or more for FERA eligibility. FERA enrollment may be marketing separately from CARE. FERA enrollment may have a FERA-only application form.
AB 1912 Pacheco Watch Died Requires a 3rd party review of legislation that would propose new large electric and gas corporation mandated programs or requirements to be completed prior to a policy committee hearing the bill.
AB 2109 Carrillo Watch Chaptered Exempts industrial heat process technology from certain surcharges and mandates that the CPUC protect nonparticipating customers, particularly residential or small commercial ones, from bearing the costs associated with these technologies.
AB 2666 Boerner Watch Chaptered Requires the Investor-Owned Utilities (IOUs) to refund revenues collected in excess of their rate of return, to refund those revenues to its ratepayers.
AB 2683 Boerner Watch Died Requires the Public Advocates Office (PAO) to advocate for lower rates in every general rate case.
AB 2847 Addis Watch Chaptered Requires an electrical or gas corporation's application for cost recovery to the CPUC to include its best estimate on the application’s impact to the annual revenue requirement for each year.
AB 3121 Petrie-NorrisWatch Died Requires ½ of unencumbered Multifamily Affordable Housing Solar Roofs Program, all unreserved Self Generation Incentive Program, and remaining School Energy Efficiency Stimulus program funds by Jan 1, 2025 to be returned to residential retail rates of customers.
AB 3247 Irwin Watch Died Requires the director of the Public Advocate’s Office (PAO) to be alternately appointed for 4-year terms by the Speaker of the Assembly and the President pro Tempore of the Senate. 27
AB 3256 Irwin Watch Died Requires the California Public Utilities Commission determine whether Investor-Owned Utility (IOU) balancing accounts have achieved their intended purpose, and whether future cost increases are justified if the intended purpose has not been achieved.
AB 3263 Calderon Watch Vetoed Authorizes the use of a financing order to recover the cost of wildfire mitigation efforts related to an electric corporation's wildfire mitigation plan.
SB 1142 Menjivar Watch Chaptered Requires Investor-Owned Utilities (IOUs) to offer an up to 12 month payment plan to customers before disconnection; limits initial payment to an amount set by the CPUC.
Building Decarbonization and Distributed Energy Resources Legislation Bill Author Position Status Summary
AB 2329 Muratsuchi Support Died Establishes a California Affordable Decarbonization Authority as a nonprofit public benefit organization to act as a mechanism to help fund various electric utility related programs and activities.
SB 1095 Becker Support Died Cozy Homes Cleanup Act. Mobile home water heating health and safety code.
SB 1221 Min Support Chaptered Requires each gas corporation to file a map containing the location of all potential gas distribution line replacement projects, then would require the CPUC to establish a voluntary program for neighborhood decarbonization zones of 30 or less pilot projects across the state to decarbonize gas customers. Gas corporations are authorized to cease providing service in these pilot areas.
AB 2256 Friedman Watch Died Requires the CPUC to conduct a cost-of-service analysis on the standard contract or tariff.
AB 2513 Pellerin Watch Vetoed Requires gas stoves to have a prominent warning label related to air pollutants.
AB 2891 Friedman Watch Died Requires the CEC to develop requirements and standards for load modifying programs.
AB 3111 Calderon Watch Died Requires applicants for new aggregated customer-sited solar and storage projects to notify the public and the CEC of the installation and scope of these facilities.
SB 1054 Rubio Watch Died Establishes a CPUC supervised Climate Pollution Reduction in Homes Initiative, requiring gas corporations to award grants under the initiative and use 15% of its revenues to the initiative.
SB 1374 Becker Watch Vetoed Requires the CPUC to authorize an NEM rate for multiple customers with meters on a single property, or multiple meters of a single customer on a property or contiguous properties.
SB 382 Becker Watch Chaptered Requires a seller of a single-family residential property to deliver a disclosure related to the property's electrical systems.
28
AB 2462 Calderon Watch Chaptered Requires the CPUC to include in their existing reporting to the Governor and Legislature reporting on how adoption of electrification may impact total energy costs to customers and goals to encourage beneficial electrification.
SB 1210 Skinner Watch Chaptered Requires utilities to post online an estimated schedule of fees for service connection for new housing development of various types.
CCA Autonomy Legislation
Bill Author Position Status Summary
AB 2368 Petrie-NorrisWatch Chaptered Requires CAISO to review any outage that affects at least 10% of customers of an entity and report if the outage is due to insufficient electricity supply.
SB 1062 Dahle Watch Died Requires Department of Conservation to establish a Biomass Technology Transition Program to support the conversion of biomass generation facilities using traditional combustion technologies to newer advanced bioenergy technology facilities.
SB 1177 Bradford Watch Chaptered Expands Supplier Diversity Reports to include the employment of women, minority, disabled veteran, and LGBT individuals within their organization and describe policies or activities that promote equitable recruitment and hiring.
SB 1508 Stern Watch Died Directs the CPUC to adopt targets for Load Serving Entities (LSEs) to procure cost-effective energy storage systems, including Long Duration Storage (LDS), multiday energy storage systems, and emerging energy storage technologies.
Infrastructure
Bill Author Position Status Summary
AB 2779 Petrie-NorrisSupport Chaptered Requires CAISO transmission plans to include the new use of grid enhancing technologies deemed reasonable by CAISO in that plan and the cost of efficiency savings of the deployment of those technologies.
AB 3238 Garcia Support Died Designates the CPUC as lead agency for CEQA.
AB 3246 Support Watch Died Allows an electric corporation to seek CPUC approval of advanced reconductoring of its existing transmission facilities through the informal Advice Letter Process instead of through the permit to construct process.
SB 1006 Padilla Support Chaptered Requires transportation utilities to prepare a biennial study of the feasibility of projects using grid-enhancing technologies to achieve increased renewable and zero-carbon resource interconnection capacity. Studies would be submitted to CAISO and feed into the transmission planning process. 29
SB 1165 Padilla Support Died Designates transmission projects as environmental leadership development projects.
AB 2292 Petrie-NorrisWatch Chaptered Stops CPUC from having to consider cost effective alternatives while considering an application for a certificate of public convenience and necessity for an electric transmission facility AB 3006 Zbur Watch Died California Infrastructure Plan, which is submitted every 5-years, amended to include port infrastructure for offshore wind energy development.
AB 3016 Petrie-NorrisWatch Died Go Biz must create and oversee a process for interagency coordination for all state and local agencies with known or likely environmental review or permitting jurisdiction relating to proposed renewable electrical generation facilities
AB 3107 Connelly Watch Died Requires the CEC to conduct a study on the benefits of microgrids on local governments and communities.
AB 3181 Pellerin Watch Died Requirement for circuit reviews if customers experience 4 or more outages a year.
SB 1003 Dodd Watch Died Directs the Office of Electrical Infrastructure Safety to consider the time required by an electrical corporation to implement proposed wildfire mitigations and the amount of risk reduced for the cost and risk remaining. Wildfire plans would need to be submitted on a 4-year basis.
SB 1272 Laird Watch Died Authorizes the CEC to prepare a program EIR for clean energy infrastructure.
SB 1420 Caballero Watch Chaptered Hydrogen production facilities and storage that do not use fossil fuel feedstock eligible to be certified as environmental leadership development projects by the CEC. Combustible biofuels lose CEQA benefits.
Zero-Emission Vehicles Legislation
Bill Author Position Status Summary
AB 627 Jackson Watch Died Implements a sliding scale voucher program; requires CARB to issue vouchers for new clean vehicles and for retrofits of existing vehicles and would focus the vouchers on smaller fleets.
AB 637 Jackson Watch Vetoed Requires CARB to authorize a fleet owner's rental of a Zero- Emission Vehicles (ZEV) for a cumulative total of 260 days per year to be considered in calculation of vehicle acquisition requirements.
SB 59 Skinner Support Chaptered Authorizes the CEC in consultation with CPUC to require any weight class of battery electric vehicles to be bidirectional capable, if it determines there is a sufficiently compelling use case to the vehicle operator and electrical grid.
30
AB 1176 Zbur Watch Died Requires a city, county, or city and county to prepare and adopt a plan to identify opportunities to expand electric vehicle charging to meet the needs of the area and future visitors.
AB 2037 Papan Watch Chaptered Allows a county sealer to test and certify Electric Vehicle charging stations. If the sealer determines that Electric Vehicle Supply Equipment (EVSE) is inaccurate, they must notify the owner/operator of the station and may choose to close the station. Local publicly owned utility equipment may self-inspect.
AB 2266 Petrie-NorrisWatch Died Codifies the California Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project (HVIP).
AB 2401 Ting Watch Vetoed Requires the implementing regulations for the Clean Cars 4 All Program (CC4A) to additionally ensure that, among other things, incentives provided under the program are available in all areas of the state and that, in those areas where a local air district has not elected to manage the distribution of incentives, the CARB manages the distribution of incentives to eligible residents of those areas AB 2427 McCarty Watch Chaptered Requires the Governor's Office of Business and Economic Development to develop a model permitting checklist, model zoning ordinances, and best practices for local governments to permit curbside charging stations. The bill would also require the CEC to assess curbside charging needs.
AB 2453 Villapudua Watch Chaptered Prohibits the retesting of Electric Vehicle Supply Equipment (EVSE) by the Department of Food and Agriculture (weights and measures) if the EVSE has previously been placed in service by a service agency or sealer.
AB 2559 Petrie-NorrisWatch Died Require Go-Biz to create and maintain a website to collect info for delays/denials in permitting of Electric Vehicle Supply Equipment (EVSE). Establish working group.
AB 2815 Petrie-NorrisWatch Died Provides grants under the Clean Transportation Program for repairs to Electric Vehicle (EV) charging infrastructure.
SB 983 Wahab Watch Forms a new Alternative Fuels Infrastructure Taskforce to examine how to encourage more alternative fueling installations on current gas station sites.
SB 1418 Archuleta Watch Chaptered Extends the requirement for local governments to administratively approve hydrogen fueling stations from 2030 to 2035. Also requires all local governments to adopt an ordinance to create streamlined permitting for hydrogen-fueling stations.
Other Legislation of Interest
Bill Author Position Status Summary
AB 817 Pacheco Support Died Allows a subsidiary body of a local agency to teleconference without meeting all of the teleconferencing requirements of the Brown Act until January 1, 2026, 31
SB 1014 Dodd Support Died Requires the Office of the State Fire Marshal in the Department of Forestry to prepare, every 3 years, a Wildfire Risk Mitigation Planning Framework and Wildfire Risk Baseline and Forecast, as well as an annual Wildfire Mitigation Scenarios report.
AB 1852 Pacheco Watch Chaptered Extends a sunset for another five years to allow non-elected alternate board members to participate in closed session Clean Power Alliance board meetings when the primary board member is unable to attend. The provisions in law are specific to Clean Power Alliance and do not apply to other local agencies.
AB 2054 Bauer-KahanWatch Died Prohibits a Commissioner of the CEC or CPUC, or Director of Public Advocates office, from employment at an entity under the jurisdiction of their former office for one year after leaving their position.
AB 2331 Gabriel Watch Died Revises the definition of “voluntary carbon offset” to mean a tradeable instrument, rather than a product. Cleanup of other carbon offset terminology.
AB 2537 Addis Watch Vetoed Authorizes the CEC to allocate capacity funding activities to local and tribal communities to engage in offshore wind development process.
SB 950 Hart Watch Died Requirements for new minimum refinery fuel and feedstocks and blending supply, with goal to lower fuel prices.
SB 1018 Becker Watch Died Revises definition of "electrical corporation" to exclude a corporation or person using solar or wind if the energy is transferred to private lines to another corporation or person that produces hydrogen or industrial heat.
32
STAFF REPORT
Agenda Item # 4.5
AGENDA DATE: October 24, 2024
TO: RCEA Board of Directors
FROM: Nancy Diamond, General Counsel
Eileen Verbeck, Interim Executive Director
SUBJECT: Appoint Elizabeth Burks as Executive Director and Approve the Agreement for Employment
BACKGROUND
The RCEA Board of Directors appoints an Executive Director to be the administrative lead of the agency, who serves at the pleasure of the Board of Directors. After completion of a thorough recruitment process, the Board of Directors appoints Elizabeth “Beth” Burks as the new Executive Director for a 3-year term beginning January 6, 2025, through January 5, 2028. The attached employment agreement outlines the terms of the employment commitment.
SUMMARY
The RCEA Board conducted an extensive recruitment for the Executive Director position, which allowed for input from the RCEA Department Directors and a member of the Community Advisory Committee. After completion of interviews of the qualified candidates and conducting thorough background checks, Beth Burks was selected as the best individual to lead RCEA and carry out the Board’s priorities and goals.
Beth Burks is a resident of Humboldt County and has more than 18 years of local planning experience in both the public and private sectors on housing, energy and transportation-related projects. She has served as the Executive Director of Humboldt County Association of Governments (HCAOG) for four years. During these four years as the HCAOG Executive Director, Ms. Burks oversaw the update of the Regional Transportation Plan including the adoption of the Safe and Sustainable Transportation Targets, and completed two cycles of the Regional Transportation Improvement Plan that brought nearly $20 million in transportation improvements to our region. She also secured grants supporting infill affordable housing, micro-transit, and other initiatives that supported mode shift to active transportation, transit, and transition to zero-emission vehicles.
Ms. Burks has served on the RCEA Community Advisory Committee, COREhub Community Benefits Network, and the technical advisory committee for the Harbor District’s port development. She is in the process of obtaining a University of Massachusetts Offshore Wind Energy Professional Certificate.
Ms. Burks has proven leadership skills, technical experience and deep local and regional networks and knowledge, all of which led to her selection to be the next Executive Director of RCEA.
33
The employment agreement for the Executive Director outlines the salary and benefits of this position and the terms under which Ms. Burks will serve.
FINANCIAL IMPACT
The employment agreement states the initial annual base salary will be equal to Step 5 of the Executive Director classification which is currently $201,835.05. The salary for fiscal year 2024/2025 is approximately $100,917 (6 months). This amount was included in the adopted fiscal year 2024/2025 budget. Future step increases will be included as part of the RCEA regular budget process.
RECOMMENDED ACTION
Appoint Elizabeth Burks as RCEA Executive Director, and Approve the Agreement for Employment of Executive Director.
ATTACHMENTS
1. Agreement for Employment, Executive Director
34 _________________________________
AGREEMENT FOR EMPLOYMENT, EXECUTIVE DIRECTOR Page 1 of 5
AGREEMENT FOR EMPLOYMENT
OF EXECUTIVE DIRECTOR
THIS EMPLOYMENT AGREEMENT is made and entered into this ____ day of __________, 2024, by and between the Redwood Coast Energy Authority (“RCEA”), a joint powers authority of the State of California, hereinafter referred to as “Employer” and Elizabeth Burks, hereinafter referred to as “Employee”.
SECTION I. EMPLOYMENT
A. Appointment of Employee.
1. The Board of Directors of RCEA (the “Board”) hereby appoints Employee to, and employs Employee in, the position of Executive Director commencing on January 6, 2025 (“Appointment Commencement Date”), to perform the functions and duties specified under the laws of the State of California, the resolutions, plans and programs of RCEA, this Agreement, and to perform such other duties and functions as the Board shall from time to time assign. Employee hereby accepts such appointment and employment.
2. This is an at-will employment and Employee shall serve at the pleasure of the Board.
B. Hours of Work.
Employee is expected to devote necessary time outside normal office hours to the business of the Employer, including but not limited to attending Board meetings, and other meetings as requested by the Board. To that end, Employee shall be allowed flexibility in setting their own office hours, but shall be expected to be generally available during ordinary business hours, 9:00 a.m. – 5:00 p.m.
Monday – Friday, 40 hours per week.
C. Outside Professional Activities.
Employee agrees to devote their productive time, ability, and attention to the Employer’s business during the term of this Agreement. Employee may, however, undertake limited outside other professional activities with the prior and continuing approval of the Board and to the extent that such activities do not in any way interfere with or adversely affect their full-time employment with RCEA or the performance of their duties as provided herein. It is specifically understood and agreed that any outside other professional activities shall be secondary to this employment by RCEA.
SECTION II. TERM OF AGREEMENT
The term of this Agreement, unless terminated earlier as provided in this Agreement, shall commence on the Effective Date and continue for three (3) years after the Appointment Commencement Date, to expire on January 5, 2028. The term of this Agreement is established solely with regard to benefits and conditions and is not intended to alter the at-will nature of Employee’s employment.
Accordingly, nothing in this Agreement shall prevent, limit or otherwise interfere with the right of the Employer to terminate this Agreement at any time, or the right of Employee to resign at any time from their position, subject only to the provisions set forth in this Agreement.
SECTION III. TERMINATION OF EMPLOYMENT; SEVERANCE PAY
A. Termination, General.
35 _________________________________
AGREEMENT FOR EMPLOYMENT, EXECUTIVE DIRECTOR Page 2 of 5
This Agreement shall terminate upon the occurrence of any of the following events:
1. Upon ninety (90) days’ notice of voluntary resignation given to the Employer by the Employee; or
2. Upon the death of the Employee; or
3. By motion to terminate Employee carried by a simple majority of the Board, with or without cause.
B. Termination For Cause.
At any time, and without prior notice, RCEA may terminate Employee for cause. “Termination for cause” includes, without limitation, any of the following:
1. Willful breach of the Agreement, as interpreted pursuant to California Labor Code section 2924.
2. Habitual neglect of the duties required to be performed by this Agreement, as interpreted pursuant to California Labor Code section 2924.
3. Continued incapacity to perform the duties required under this Agreement, as interpreted pursuant to California Labor Code section 2924.
4. Any acts of dishonesty, fraud, misrepresentation or other acts of moral turpitude.
5. Conviction of any act which would constitute a crime, whether misdemeanor or felony, and which would bring disrespect to the Office of Executive Director or the Employer.
6. Willful violations of Employer policies of a serious nature, including for example, Employer’s Sexual Harassment or “Drugs in the Work Place” policies.
In compliance with Government Code Section 53243, to the extent RCEA provides: (i) paid leave to Employee pending an investigation; (ii) funds for the legal criminal defense of the Employee; and/or (iii) a cash settlement to Employee related to the termination of the Employee pursuant to this Section 3.B, Employee shall fully reimburse RCEA for any and all amounts paid by RCEA which fall within any such categories in the event that the Employee is convicted of a crime involving the abuse of their office or position.
C. Severance.
1. In the event Employee is terminated without cause, Employer agrees to pay Employee a lump sum cash severance payment equal to three months prorated of Employee’s annual base salary.
Notwithstanding any other provision herein, in accordance with Government Code Section 53260, the maximum cash payment that Employee may receive in the event of the termination of this Agreement, as set forth in this Section, shall not exceed an amount equal to the monthly base salary of Employee multiplied by the number of months left on the unexpired term of this Agreement. If the unexpired term of this Agreement is greater than 18 months, the maximum cash settlement shall be an amount equal to the monthly salary of the employee multiplied by 18. 36 _________________________________
AGREEMENT FOR EMPLOYMENT, EXECUTIVE DIRECTOR Page 3 of 5
2. In the event Employee is terminated for cause, Employer shall have no obligation to pay the aggregate severance sum designated in Section 3.C.1.
D. Disability. In the event Employee is permanently disabled or is otherwise unable to perform their duties because of sickness, accident, injury, mental capacity or health reasons for a period of three (3) consecutive months beyond any accrued sick leave, Employer may terminate this Agreement, and Employee’s salary then in effect shall continue until three (3) months have elapsed form the date of the incident or onset of illness giving rise to the disability or incapacity. The amount of salary shall be reduced by an amount equal to any disability insurance proceeds then being received by the Employee. Employer shall have no obligation to pay the aggregate severance sum designated in Section 3.C.1 in the event of termination under this Section III.D.
E. Resignation. Employee shall give Employer at least ninety (90) days’ advance notice of resignation from the position of Executive Director, unless reduced or waived by the Board. If Employee voluntarily resigns, Employer shall have no obligation to pay the aggregate severance sum designated in Section III.C.1.
SECTION IV. COMPENSATION OF EMPLOYEE
A. Salary. Employer agrees to pay Employee for their services provided under this contract beginning on the Appointment Commencement Date an initial annual base salary of equal to the rate of pay at Step 5 of the Executive Director classification, payable in installments at the same time that RCEA employees are paid. This amount shall be subject to a merit increase, if any, provided by the Board at the time of the annual performance evaluation as provided in Section V. of this Agreement.
B. Benefits, Vacation, Holiday, Sick Leave, and Compensatory Time. Except as provided in Section IV.A regarding salary adjustments received by other RCEA employees, beginning on the Appointment Commencement Date Employee shall receive such other and further benefits in such amounts and to such extent as accorded other full-time RCEA employees, including, but not limited to retirement, health insurance (including medical, dental, and vision coverage to the Employee and family), vacation, life insurance, workers compensation, short-term disability coverage, holidays, and sick, bereavement and. On the Appointment Commencement Date, Employee shall begin to accrue vacation at the rate of 16 days, or 128 hours, per year. Of these benefits and without expansion thereof, Employee shall have immediate access after the Appointment Commencement Date to the following:
1. 3 floating holidays;
2. 100 hours of vacation leave;
3. 40 hours of sick leave.
Once per fiscal year, Employee may cash out up to five (5) days, equal to 40 hours, of accrued vacation.
C. Dues, Subscriptions and Certifications. Employer agrees, to the extent it is financially able and with Board approval, to budget for and to pay professional dues and subscriptions of Employee necessary for their continuation and full participation in national, regional, state and local associations pertinent to the position of RCEA Executive Director. To the extent Employer is financially able, Employer agrees to budget and pay for the maintenance of Employee’s AICP certification, including renewal, continued education, and associated travel.
37 _________________________________
AGREEMENT FOR EMPLOYMENT, EXECUTIVE DIRECTOR Page 4 of 5 D. Professional Development. Employer agrees, to the extent it is financially able and with Board approval, to budget for and to pay for travel and subsistence expenses of Employee for professional and office travel, meetings, and occasions adequate to continue the professional development of Employee and to adequately pursue necessary official functions for Employer. Employer also agrees, to the extent it is financially able, to budget for and to pay for travel and subsistence expense of Employee for short courses, institutes, and seminars that are necessary for their professional development and for the good of the Employer.
SECTION V. PERFORMANCE EXPECTATIONS
A. Performance Evaluation. The Board shall conduct a review and evaluation of Employee at least once every year on or around the anniversary date of the Appointment Commencement Date. Said review and evaluation shall be in accordance with specific goals and performance objectives developed jointly by Employer and Employee. Said criteria may be added to or deleted from as the Board may from time to time determine, in consultation with the Employee. The Chair shall provide the Employee with a written summary statement of the findings of the Board, within fifteen (15) working days of completion of the Board’s evaluation of Employee. The Board shall provide adequate opportunity for the Employee to discuss their evaluation with the Board in closed session.
B. Performance Criteria.
1. In conjunction with the performance evaluation, the Board and Employee shall define such goals and performance objectives that they determine necessary for the proper operation of RCEA and in the attainment of the Board’s policy objectives, and shall further establish a relative priority among those various goals and objectives, said goals and objectives to be reduced to writing.
They shall generally be attainable within the time limitations as specified and the annual operating and capital budgets and appropriations provided. Based on these outputs and criteria, the Board and Employee shall develop written performance expectations and goals for Employee, which shall be used in part as guidelines to frame the performance review under this Agreement.
2. During the first three months after the Appointment Commencement Date and no later than April 30, 2025, the Employee and Board Chair shall jointly develop 1) an initial year work plan including, but not limited to, trainings the Employee may need or desire, and 2) performance goals and expectations that will be used in the first-year annual performance evaluation conducted pursuant to Section V.A of this Agreement.
SECTION VI. MISCELLANEOUS PROVISIONS
A. The text herein shall constitute the entire Agreement between the parties.
B. If any provision, or portion thereof, contained in this Agreement is held unconstitutional, invalid or unenforceable, the remainder of this Agreement, or portion thereof, shall be deemed severable, shall not be affected, and shall remain in full force and effect.
C. In the event that either party to this Agreement brings a lawsuit to enforce or interpret any provisions of this Agreement, the prevailing party shall be entitled to recover their reasonable attorneys’ fees and related expenses and costs.
D. This Agreement shall be governed by the laws of the State of California. 38 _________________________________
AGREEMENT FOR EMPLOYMENT, EXECUTIVE DIRECTOR Page 5 of 5 E. The parties agree that any ambiguity in this Agreement shall not be construed or interpreted against, or in favor of either party.
F. This Agreement contains the full agreement of the parties. Any modification or change in this Agreement shall not be binding on either party unless such change or modification is in writing and signed by both parties.
G. Employer shall defend, hold harmless, and indemnify Employee against any tort, professional liability claim, or demand or other legal action, whether groundless or otherwise, arising out of any alleged act or omission occurring during Employee’s employment under this Agreement, including without limitation, claims arising out of personnel actions taken by Employee. Employer shall defend, compromise and settle any such claim or suit, and shall pay the amount of any settlement or judgment rendered hereon.
IN WITNESS WHEREOF, the Employer has caused this Agreement to be signed and executed in its behalf by its Chair of the Board, and Employee has signed and executed this Agreement, both in duplicate, the day and year first above written.
EMPLOYEE EMPLOYER
_____________________ ____________________________
Elizabeth Burks Sarah Shaefer, Chair of the Board
Approved as to form: Approved as to form:
(At Employee’s option)
______________________ __________________________
Name: Nancy Diamond, General Counsel
Redwood Coast Energy Authority
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intentionally
left blank.
40
STAFF REPORT
Agenda Item 4.6
AGENDA DATE: September 26, 2024
TO: Board of Directors
PREPARED BY: Stephen Kullmann, Director of Demand Side Management Eileen Verbeck, Interim Executive Director
SUBJECT: RuralREN North PG&E Funding Agreement
Summary
On September 26, 2024, the CPUC voted to split the RuralREN into Northern and Central RuralRENs.
PG&E was designated as the Fiscal Sponsor for RuralREN North (aka Northern California Rural Regional Energy Network), which lies entirely within PG&E service territory. RCEA, as Portfolio Administrator for RREN North, is responsible for executing a contract with PG&E to collect and distribute the funds to support the REN.
RCEA had previously agreed to a fiscal contract with PG&E for the original RuralREN, which was approved by the RCEA Board of Directors on November 16, 2023. This contract was never executed, however, due to the CPUC suspending all RuralREN activities while the conflict between partners was resolved. This current contract has essentially the same terms as the one previously approved, with the budgets, dates, and service area updated.
Funds will be released on a quarterly advance basis. The approved budget through 2027 is as follows:
Year Budget
2024 $2,233,300
2025 $9,789,070
2026 $10,072,273
2027 $10,083,401
$32,178,044
FINANCIAL IMPACTS
The total 2024-2027 budget in the Proposed Decision for RREN-North is $33,139,078. Much of this will be pass-through funds for implementation in the partners’ respective territories. While final distributions of budgets between the RuralREN North partners still need to be established and will be brought back to the RCEA Board as a budget adjustment at a later meeting, RCEA’s share is approximately $6.85M for program implementation, $2.7M for administration, and $1.6M for marketing.
EQUITY IMPACTS
RENs in general, and the RREN North particularly, are designed to reach customers that otherwise are not being reached by existing ratepayer funded programs. 41
RECOMMENDED ACTIONS
Authorize the Executive Director to execute the 2024-2027 PG&E Funding Agreement for $32,178,044 upon final review and approval by RCEA General Counsel; and, upon full execution, authorize the Executive Director to issue solicitations for consultant and subcontractor services to implement the Northern California RuralREN in regions covered by PG&E funding.
ATTACHMENTS
PG&E Funding Agreement for Northern California Rural Regional Energy Network Energy Efficiency Programs
42 FUNDING AGREEMENT FOR NORTHERN CALIFORNIA RURAL REGIONAL
ENERGY NETWORK ENERGY EFFICIENCY PROGRAMS
This Funding Agreement for Northern California Rural Regional Energy Network (NCRREN) Energy Efficiency Programs (Agreement) is between Pacific Gas and Electric Company (PG&E) and Redwood Coast Energy Authority (RCEA), also referred to each as a Party or collectively, the Parties, and shall become effective upon the date of signature by both Parties (Effective Date).
A. WHEREAS, on July 3, 2023, the California Public Utilities Commission (CPUC) issued Decision 23-06-055 making Rural Regional Energy Network (R-REN) an approved energy efficiency (EE) portfolio administrator; and
B. WHEREAS, on September 26, 2024, CPUC Decision 24-09-031 modified CPUC Decision 23-06- 055, by splitting R-REN into two geographic areas. The Northern California Rural Regional Energy Network (NCRREN) will serve the North Coast and Northern Sierra region, while Central California Rural Regional Energy Network (CCRREN) will serve the Central Coast, Eastern Sierra, and San Joaquin Valley regions; and
C. WHEREAS CPUC Decision 24-09-031 directed PG&E to serve as the fiscal agent for NCRREN, with RCEA as the lead EE portfolio administrator; and
D. WHEREAS, the CPUC directed PG&E to collect and deliver to RCEA public purpose program (PPP) funding for administration of its EE program portfolio in overlapping PG&E territory as set forth in CPUC D. 24-09-031 Table 4 (NCRREN Budget); and E. WHEREAS, RCEA shall receive the NCRREN Budget funding annually for the period of 2024- 2027 (Funding Term).
Therefore, the parties agree as follows:
1. Performance Obligations:
1.1 RCEA NCRREN Budget:
1.1.1 Total For Funding Term: Unless otherwise directed by the CPUC, the aggregate total of PG&E PPP funds to be delivered to RCEA during the Funding Term shall not exceed $32,178,045 (NCRREN Budget) as approved by the CPUC September 26, 2924, D. 24-09-0311 and will be disbursed annually as follows:
Year Budget
2024 $2,233,300
1 https://docs.cpuc.ca.gov/PublishedDocs/Published/G000/M542/K040/542040687.PDF; Page 29, Table 4, Less CPUC EM&V ($961,033).
43 2025 $9,789,070
2026 $10,072,273
2027 $10,083,401
$32,178,044
1.1.2 Unspent and Uncommitted RCEA NCRREN Budget:
1.1.2.1 In the event RCEA reports unspent and/or uncommitted NCRREN Budget from the previous year, such amount shall be off-set against RCEA’s next quarterly invoice(s) amounts until depleted during the Funding Term.
1.1.2.2 Upon the expiration of the Funding Term, any remaining unspent and/or uncommitted RCEA NCRREN Budget
previously paid by PG&E, shall be applied, and used to offset a subsequent approved RCEA NCRREN Budget, or as
otherwise directed by the CPUC.
1.1.3 RCEA NCRREN Budget Payments: PG&E and RCEA agree to the following Budget payment schedule:
1.1.3.1 RCEA shall submit one invoice for the 2024 NCRREN Budget amount no later than November 29, 2024. PG&E shall pay
this invoice within 30 days from the Effective Date.
1.1.3.2 For the remaining Funding Term, RCEA shall annually submit four (4) quarterly invoices beginning January 15, 2025, and thereafter continuing April 15th, July 15th, and October 15th until the last invoice on October 15, 2027. PG&E shall pay these quarterly invoices within 30 days upon receipt.
1.1.4 Invoicing Submittal Requirements: RCEA shall submit its invoices electronically through PG&E’s electronic invoicing system. RCEA must include the purchase order number on the invoices it submits. To enroll in PG&E’s free electronic invoicing portal, RCEA needs to email and provide the following information:
PG&E Vendor #: 0001075302
Vendor Name
Valid Purchase Order #
Vendor Contact Name, Contact Telephone Number, Contact Email Address
PG&E Contact Name
44 INVOICES NOT SUBMITTED THROUGH PG&E’S ELECTRONIC INVOICES SYTEM ARE NOT CONSIDERED RECEIVED FOR PAYMENT PURPOSES.
1.2 Joint Cooperation Memo (JCM) Report:
1.2.1 Meet and Confer: The Parties agree they will schedule a meeting prior to the JCM reports required by the CPUC. RCEA will submit the NCRREN and PG&E JCM that details each program administrator’s EE program activities and collaboration.
1.2.2 JCM Report Submittals: RCEA will submit the initial JCM within 60 days after CPUC approval of RCEA’s Tier 3 advice letter updating the NCRREN business and portfolio plans. Subsequently, RCEA will submit the JCM every two years within 60 days after CPUC approval of the last of the JCM portfolio administrator’s true-up advice letters and mid-cycle advice letters (as applicable). After PG&E review and approval, RCEA shall submit the JCM to the California Energy Data and Reporting System (CEDARS), with notice to the service list of Rulemaking 13-11-005 or a successor proceeding. PG&E has no responsibility, nor will it take any action to verify, NCRREN’s content or accuracy in their reporting of their NCRREN program activities.
1.3 Quarterly Total System Benefit (TSB) and Financial Forecast Submittals:
1.3.1 Quarterly Total System Benefit (TSB) Forecasts: RCEA shall submit to the PG&E Agreement manager during the Funding Term on an annual basis, 4 quarterly TSB forecast updates from NCRREN EE programs covered under this Agreement.
1.3.2 Quarterly Financial Forecasts: RCEA shall submit to the PG&E Agreement manager during the Funding Term on an annual basis, 4 quarterly financial forecast updates. These quarterly updates may include, but are not limited to, unspent and uncommitted RCEA NCRREN Budget, if any, as set forth and in accordance with the terms of this Agreement.
1.4 Representations and Warranties:
RCEA acknowledges PG&E enters this Agreement in reliance on NCRREN’s representations and warranties that it will perform, or cause to be performed, all the tasks and requirements in conformity with all applicable CPUC Decisions and approvals of NCRREN Program Implementation Plans, Federal, State, and local laws, regulations and other rulings or authority with appropriate jurisdiction. In compliance with the foregoing, RCEA acknowledges it will require its Implementer for the NCRREN Program to comply with the Project Certification requirements under California Utilities Public 45 Code Section 399.4 et seq. and the CPUC’s Workforce Standards for any incentive payments for HVAC and Lighting Control that meet a certain threshold as follows:
Public Utility Code Section 399.4 (b) requires in relevant part: that for all incentives for an energy efficiency improvements or installations of energy efficient components, equipment, or appliances, the incentive recipient must submit a statement certifying that appropriate permits have been obtained and, if a contractor performed the installation or improvement, the contractor holds the appropriate licenses for the work performed. The CPUC has ordered that when the work involves obtaining a permit for heating, ventilation, central air-condition and heat pump projects, documentation of proof the permit has been closed must also be provided.
HVAC AND LIGHTING CONTROL WORKFORCE STANDARD QUALIFICATION REQUIREMENTS. To be eligible for an incentive for non-residential heating, ventilation, and air conditioning (HVAC) measure exceeding $3000 and/or for lighting control (LC) measure exceeding $2000, prior to a technician installing, modifying, or maintaining these measures, the technician performing this work is required to provide the following in their applicable qualification documentation:
(1) For HVAC Measure Installation Qualification: the person doing the work must have at least one of the following criteria:
(a) Completed an accredited HVAC apprenticeship
(b) Be enrolled in an accredited HVAC apprenticeship.
(c) Completed at least five years of work experience at the journey level according to the Department of Industrial Relations definition, Title 8, Section 205, of the California Code of Regulations, passed a practical and written HVAC system installation competency test, and received credentialed training specific to the installation of the technology being installed.
(d) Have a C-20 HVAC contractor license issued by the California Contractor’s State Licensing Board; and
(2) For LC measures: the person doing the work must produce an installer certification from the California Advanced Lighting Controls Training Program.
1.5 Prevention of Double Dipping: RCEA agrees to utilize its protocols to not permit Customers participating in the NCRREN programs from using the same EE measures for which they have received an incentive. The purpose for prevention of double dipping is to comply with D. 12-11-015 stating “… the RENs should coordinate with the utilities in their areas to ensure customers do not receive duplicate incentive payments for the same energy efficiency measure or project.”
2. Confidentiality:
The Parties agree they shall not collect, use, retain or disclose personal information, as defined in California Privacy Rights Act of 2020 (CPRA, Proposition 24, amending California Civil Code 1798.100 et seq.) and modified from time to time, received, if any, under this Agreement (“Personal Information”) for any purpose other than for the specific purpose of performing its obligations under 46 this Agreement. Personal Information shall not be sold or shared under any circumstances. “Confidential Information” means:
(i) a customer’s personal identifiable information, energy use data, billing data, account information, including demand response program information, and information relating to their facilities, equipment, processes, products, specifications, designs, records, data, software programs, finances, technologies, trade secrets, marketing plans or manufacturing processes or products; and (ii) information about the Disclosing Party’s employees and business operations, informational or technological practices, models, trade secrets, and other related documentation or information related to the Disclosing Party, its parent company, subsidiaries, affiliates, third parties, suppliers, contractors, and subcontractors.
“Confidential Information” does not include information that (a) was properly in the Party’s possession at the time of disclosure; (b) is or becomes publicly known through no fault of the Receiving Party; (c) was independently developed by the Receiving Party or (d) that the Disclosing Party agrees in writing is not Confidential Information.
(b) Upon request by the Disclosing Party, the Receiving Party will delete or destroy any Confidential Information obtained from the Disclosing Party or in performing its obligations under this Agreement, unless the Receiving Party documents that it is lawfully prohibited from deleting or destroying such Confidential Information.
(c) If a Party is in doubt about whether certain information is Confidential Information, such Party agrees to treat such information as Confidential Information. (d) Any Confidential Information under this Agreement shall be strictly for the purpose of carrying out the obligations and each Party will restrict access to the Confidential Information to those personal with a need to know basis, upon which personal must agree in writing to safeguard, handle, use, and store, if required, the Confidential Information with no less restrictive obligations as the requirements under this Agreement.
(e) The Receiving Party agrees to implement and maintain, and to cause its relevant subcontractors or other such representatives to implement and maintain, reasonable security procedures and practices to protect the unauthorized disclosure, destruction, and/or use of the Confidential Information.
(f) If the Receiving Party is required by law, court order, or governmental authority to produce any Confidential Information, the Receiving Party must, to the extent legally permitted, provide the Disclosing Party prompt written notification of the request, and shall cooperate with the Disclosing Party’s efforts in regard thereto, including electing to seek a protective order or other appropriate relief. Provided such written notification is provided, the Receiving Party’s legal requirement to produce any Confidential Information, shall not result in liability under this Agreement or any attachments hereto.
47 3. Indemnification and Limitation of Liabilities:
3.1 Indemnification: RCEA shall indemnify, hold harmless and defend PG&E, and each of their affiliates, subsidiaries, parent company, officers, managers, directors, agents, and employees from and against all 3
rd party claims, demands, losses, damages, costs,
expenses, and liability (legal, contractual, or otherwise) (“Liabilities”), which arise from or are connected in any way to the payment made by PG&E under this Agreement.
3.2 Limitation of Liability:
3.2.1 PG&E’s total liability to RCEA under or in connection with this Agreement, whether in contract or in tort (including breach of warranty, negligence, and strict liability in tort), shall in no event exceed the total NCRREN Budget amount.
3.2.2 In no event shall either Party be liable to the other Party for any indirect, special, consequential, or punitive damages of any kind whatsoever.
4. Disclaimer and No Obligation: PG&E will not review, provide oversight, or approve any of the work RCEA renders for the NCRRENEE portfolio. Moreover, PG&E shall not be responsible to ensure RCEA complies with orders and directives of the CPUC. All Work performed by RCEA will be governed by and must meet the satisfaction of the CPUC’s appointed staff.
5. Term and Termination:
5.1 Term: The term of this Agreement shall begin upon the Effective Date and continue until December 31, 2027, unless modified or terminated sooner.
5.2 Termination: A Party shall have the right to terminate this Agreement at any time if:
(a) The other Party becomes insolvent, generally fails to pay un-disputed debts, makes a general assignment for the benefit of creditors, or commences any action seeking reorganization or receivership under any bankruptcy, or similar law; or (b) The other Party breaches this Agreement, and such breach is not remedied within thirty (30) calendar days of written notice thereof; or (c) A Party becomes aware of an imminent threat to public safety that is likely to be caused by its continued performance under this Agreement.
6. Miscellaneous:
48 6.1 Governing Law and Jurisdiction: This Agreement shall be governed by and construed in accordance with the substantive Laws of the State of California.
6.2 Independent Status: In performing the obligations of this Agreement, nothing contained herein shall be construed as constituting any relationship between the Parties, other than the Parties’ duties to perform their obligations set forth in this Agreement.
6.3 Other Contracts: Nothing in this Agreement shall create any contractual relations between one Party’s contractors and the other Party.
6.4 No Publicity: Except to the extent as directed by the CPUC or as currently in the public domain, neither Party shall include the name, any reference to this Agreement, or any reference to the other Party’s purchase or use of any products or services provided by the Party, in such Party’s publicity or advertisement, including internet, without the prior written consent of an officer of the other Party.
6.5 Assignment: Neither Party may assign any of its rights, voluntarily or involuntarily, by operation of law or any other manner, or delegate any performance under this Agreement, without the prior written consent of the other Party and/or by CPUC decision, ruling or resolution. Any purported assignment or delegation of performance in violation of this provision is void. Subject to the foregoing, this Agreement is binding upon and shall inure to the benefit of the successors and permitted assigns of the Parties.
6.6 CPUC Authority to Modify: This Agreement shall always be subject to changes or modifications by the CPUC or requested by either Party to the extent necessary to comply with any changes that the CPUC makes during the term of this Agreement, which may include and not limited to, any disallowance or modifications of approved annual NCRREN Budget amounts. Either Party may provide written notice to the other Party requesting such changes and the Parties shall enter into good faith negotiations to make the minimum changes to this Agreement necessary to comply with such CPUC requirement. If the Parties are unable to agree to such changes within sixty (60) days after receipt of such notice, then either Party may terminate this Agreement upon written notice to the other Party.
6.7 Attorneys’ Fees: Each Party shall be responsible for paying its own attorneys’ fees and other costs associated with the negotiation, execution and delivery of this Agreement and performance of its obligations under this Agreement.
7. Notices:
7.1 PG&E Agreement manager for this Agreement is Doreen Caruth, until or unless PG&E appoints a new one. , .
49 7.2 RCEA Agreement manager is Lexie Perez, until or unless RCEA appoints a new one. , .
7.3 All formal notices, requests, demands, approvals, and communications under this Agreement (other than routine operational communications) (collectively, “Notices”) will be in writing and may be served either (i) in person, (ii) via e-mail, or (iii) by registered or certified mail or air freight services that provide proof of delivery, with postage or shipping fees prepaid, and addressed as follows:
In the case of PG&E:
Pacific Gas and Electric Company
300 Lakeside Drive
Oakland, CA, 94612
Attn: Samantha McNabola
Email:
with copy to:
California Public Utilities Commission, Energy Division 505 Van Ness Avenue
San Francisco, CA 94102
Attn: Pamela Rittelmeyer, PhD
Email:
In the case of RCEA:
Redwood Coast Energy Authority
633 3rd Street
Eureka, CA 95501
Attn: Eileen Verbeck
Email:
8. No Provision Interpreted Against Drafter: Ambiguities are to not to be resolved against the drafting Party and shall not be employed in the interpretation of this Agreement.
9. Severability: If any provision of this Agreement is held invalid by a court with jurisdiction over the Parties to this Agreement, such provision will be deemed to be restated to reflect as nearly as possible the original intentions of the Parties in accordance with applicable law, and the remainder of this Agreement will remain in full force and effect.
10. Survival: Any provision of this Agreement that contemplates or governs performance or observance after termination or expiration of this Agreement will survive the expiration or termination of this Agreement.
50 11. Entire Agreement; Amendments: This Agreement constitutes the entire agreement between the Parties with respect to its subject and merges, integrates and supersedes all prior and contemporaneous agreements and understandings between the Parties, whether written or oral, concerning its subject matter. No modification or amendment to this Agreement will be effective unless it is expressly set forth in writing and duly executed by the Parties.
12. Counterparts: This Agreement may be executed in one or more counterparts, each of which will be deemed to be an original, but all of which will together constitute one and the same agreement.
[Signature Page Follows]
51 IN WITNESS WHEREOF, each Party has caused this Agreement to be duly executed by its authorized representative as of the Effective Date.
Redwood Coast Energy Authority Pacific Gas and Electric Company By: By:
Name: Eileen Verbeck Name: Margaret Murphy
Title: Interim Executive Director Title: Senior Director, Load Mgmt. Solutions Date: Date:
52
STAFF REPORT
Agenda Item # 4.7
AGENDA DATE: October 24, 2024
TO: Board of Directors
PREPARED BY: Jocelyn Gwynn, Senior Power Resources Manager SUBJECT: Hatchery Road Solar A Feed-In Tariff Project
SUMMARY
Staff are seeking Board approval of the Hatchery Road Solar A Feed-In Tariff (FIT) Power Purchase Agreement (PPA). The Hatchery Road project near Blue Lake is being revived after it was terminated due to excessive interconnection costs. The developer, Renewable Properties, reapplied for PG&E interconnection study and deemed the cost feasible to develop a first phase of the project. They have also extended both the conditional use permit with the County of Humboldt and the lease agreement with the private landowner. Renewable Properties has indicated they may apply for more FIT capacity at the project site, but only the first phase just under 1 MW is ready for contracting at this time. They anticipate bringing this first phase online in Q2 2026.
Staff received the FIT application for Hatchery Road Solar A on the last day before RCEA’s redesigned FIT program went into effect. If approved, it would be contracted under the former program rules and form contract. The contract price is $90 per MWh plus a $5 per MWh bonus incentive for the first five years if the project is built by a local company. Renewable Properties has indicated they prefer to use local labor where possible and are seeking qualified local contractors for Hatchery Road Solar. The project would generate about 2,100 MWh on average per year, which is about 0.3% of RCEA’s annual load. Approval of this PPA would result in reduction of the available programmatic FIT capacity from 15 MW to 14 MW.
BACKGROUND
RCEA’s Feed-In Tariff program launched in 2019. The program offers above-market pricing and a streamlined contracting process for new, local renewable energy projects. The offered contract price periodically adjusts up or down depending on the rate of program subscription.
Since the program began, RCEA has contracted six FIT PPAs. Two of them are still active with the North Coast Highway Solar projects being developed in Hydesville.
The four Hatchery Road Solar PPAs were terminated in early 2023 when the project was saddled with exorbitant costs for distribution infrastructure upgrades. These costs were not foreseen when Renewable Properties and PG&E signed the projects’ interconnection agreements. While doing a site walk, PG&E determined that the projects triggered the need to 53
rebuild a new substation control room. At the time, the project economics were already barely penciling out, and these final cost increases were the nail in the coffin. After the Hatchery Road Solar projects were withdrawn from the interconnection queue, PG&E indicated they planned to complete these upgrades regardless and would pay for them through retail distribution rates.
This enabled a path forward for the developer to resurrect Hatchery Road Solar.
ALIGNMENT WITH RCEA’S STRATEGIC PLAN
This FIT contract would advance the following strategic goals, among others:
• 4.1.1 Maximize the Use of Local Renewable Energy to the Extent Technically and Economically Feasible and Prudent.
• 4.1.7.3 Provide Feed-In-Tariff Power Procurement Program for Small Generators. • 4.1.8.2 Procure Local Solar Energy.
EQUITY IMPACTS
None.
FINANCIAL IMPACT
The cost over the 20-year term of the Hatchery Road Solar A PPA is estimated at $3.8 million, assuming the project qualifies for the local business incentive. This is excluding the value of potential revenue from the energy and renewable certificates. The annual cost for the project would be about 0.3% of RCEA’s forecasted power procurement budget. This is on par with RCEA’s average procurement cost but for a lower value product since it will not include resource adequacy.
STAFF RECOMMENDATION
Approve Resolution 2024-14 Approving the Form of and Authorizing the Execution of the Hatchery Road Solar A Feed-In Tariff Power Purchase Agreement with RPCA Solar 5, LLC.
ATTACHMENTS
Resolution 2024-14
Exhibit A Hatchery Road Solar A FIT PPA
Agreement is available online at
https://redwoodenergy.org/wp-content/uploads/2024/10/4.7-3-Hatchery-Road-A-FIT-PPA_Approval-Draft_Redacted.pdf, or https://redwoodenergy.org/board-of-directors/.
54 RESOLUTION NO. 2024-14
A RESOLUTION OF THE BOARD OF DIRECTORS
OF THE REDWOOD COAST ENERGY AUTHORITY
APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION OF
THE HATCHERY ROAD SOLAR A FEED-IN TARIFF
POWER PURCHASE AGREEMENT WITH RPCA SOLAR 5, LLC
WHEREAS, Redwood Coast Energy Authority (“RCEA”) launched a Feed-In Tariff (“FIT”) Program in 2019 to foster local renewable energy development; and WHEREAS, RPCA Solar 5, LLC submitted an application to RCEA’s FIT Program on September 30, 2024, for the Hatchery Road Solar A project (“Application”); and WHEREAS, Staff have deemed the Application complete and conforming with the Feed-In Tariff and have accordingly prepared a FIT Power Purchase Agreement (“Agreement”).
NOW, THEREFORE, the Board of Directors of the Redwood Coast Energy Authority resolves as follows:
1. The Hatchery Road Solar A Feed-In Tariff Power Purchase Agreement as between Redwood Coast Energy Authority and RPCA Solar 5, LLC is hereby approved.
2. The Executive Director of Redwood Coast Energy Authority is authorized to execute the Agreement substantially in the form attached hereto as Exhibit A on behalf of RCEA, and, in consultation with legal counsel, is authorized to approve any needed future amendment to the Agreements so long as the term, volume, and price are not changed and the amendment does not fundamentally change the business terms of the Agreements or measurably increase risk exposure for RCEA.
Adopted this 24th day of October 2024.
ATTEST:
Sarah Schaefer, RCEA Board Chair Lori Taketa, Clerk of the Board Date: _________________________ Date: ________________________ 55 CLERK'S CERTIFICATE
I hereby certify that the foregoing is a true and correct copy of Resolution 2024-14 passed and adopted at a regular meeting of the Redwood Coast Energy Authority, County of Humboldt, State of California, held on the 24th day of October 2024, by the following vote:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
Clerk of the Board, Redwood Coast Energy Authority
56 Exhibit A: Hatchery Road Solar A Feed-In Tariff
Power Purchase Agreement
This agreement is available for viewing online at
https://redwoodenergy.org/wp-content/
uploads/2024/10/4.7-3-Hatchery-Road-A-FIT-PPA_Approval-Draft_Redacted.pdf, or
https://redwoodenergy.org/board-of-directors/.
57 This page
intentionally
left blank.
58
STAFF REPORT
Agenda Item # 6.1
AGENDA DATE: October 24, 2024
TO: Board of Directors
PREPARED BY: Jaclyn Harr, TEA Account Director – California Richard Engel, Director of Power Resources
SUBJECT: Energy Risk Management Quarterly Report
BACKGROUND
The RCEA Board of Directors adopted an Energy Risk Management Policy in December 2016, most recently revised in December 2022 and with an Addendum A adopted in May 2024 (RCEA-ERMP-Approved-Dec-2022.pdf), to establish functions and procedures to manage the risks associated with the Community Choice Energy (CCE) program’s power procurement activities. In accordance with this policy, a quarterly update on activities and projected financial performance is presented to the Board during business meetings.
SUMMARY
The Energy Authority (TEA) California Account Director Jaclyn Harr and RCEA staff will provide an energy risk management quarterly update.
ALIGNMENT WITH RCEA’S STRATEGIC PLAN
Not applicable.
EQUITY IMPACTS
Not applicable.
RECOMMENDED ACTION
Accept Energy Risk Management Quarterly Report.
ATTACHMENTS
Energy Risk Management Quarterly Report slides will be presented at the meeting. 59 This page
intentionally
left blank.
60 RCEA
Energy Risk Management
Quarterly Report
October 2024 Board Meeting
Overview of Financial Drivers
Revenues:
• 2024 retail revenues coming in lower than forecasted due to lower than forecasted load
• 2025 and 2026 PG&E Rates updated per rate forecast
• +$2.7MM in 2025, +$8.4MM in 2026
• PG&E Fall Update expected to be released this week
Net Power Costs:
• Forward energy price changes over forecast horizon:
• 2024 down 10% (average hedged: ~100%); 2025 down 11% (average hedged: ~87%); 2026 down 13% (average hedged: ~64%)
• Decreased prices for environmental products (RECs & Carbon-Free) and capacity products (RA) 19
Legend
Green = improved since
FY budget was set
Red = worse since FY
budget was set
Factors Affecting Financial Outlook
• PG&E Rate Changes
• Financial Security Requirement recalculation
•Increased Market Price Benchmark
Results in a decreased PCIA.
Procurement Costs Go Up
20 What is the Financial Security Requirement (FSR)?
• FSR covers administrative and net procurement costs that an IOU would incur for six months if a CCA in its territory failed, and the CCA’s customers were involuntarily returned to the IOU.
• The FSR amount is recalculated every six months
• CCAs must post this amount in either cash or credit.
• CPUC is currently voting to change the calculation.
• Currently RCEA must post $147K.
• Some estimates increase RCEA’s FSR by millions of dollars. Exact amount is unknown; however, any increase will affect RCEA’s cash on hand.
21 What are Market Price Benchmarks (MPBs)?
•MPBs are estimates of the per unit value of the
products in an IOU’s portfolio
• energy (on-peak and off-peak)
•resource adequacy (RA - system, local, and flexible)
•renewable energy (RPS)
•MPBs are utilized to
• calculate the PCIA that IOU and CCA customers pay
• set prices for voluntary allocations IOUs make to CCAs 22 How are Market Price Benchmarks expected to change?
23 2024 Final PG&E MPBs 2025 Forecast PG&E MPBs
Energy
Index
On-Peak $55.02
Off-Peak $53.18
RA Adder
System $28.65 $42.54
Local $12.22 $13.29
Flexible $12.89 $14.16
RPS Adder $54.56 $71.24
The PCIA Collects the Above-Market Costs of
the IOU’s PCIA Generation Portfolio
24 Portfolio
Costs
Portfolio
Value*
Indifference
Amount
(Above-market
costs)
*Value calculated using “Market Price Benchmarks” (MPB) Graphic adapted from CalCCA
Primer: Power Charge
Indifference Adjustment
Presentation September 2024
PCIA – A Two-Sided Coin
Market Effects Push and Pull
• Historically, the PCIA rate has mostly been positive, adding a charge to customers because Market Price Benchmarks
decreased compared to when the costs were incurred.
• When Market Price Benchmarks increase the PCIA rate
decreases, reducing this line item on customer bills.
• Due to the dynamics of inputs to the PCIA, over- and under-collections of revenue, the PCIA often swings up and down year to year.
25 Adapted from CalCCA Primer:
Power Charge Indifference
Adjustment Presentation
September 2024
26 Adapted from CalCCA Primer: Power Charge Indifference Adjustment Presentation September 2024
How has PG&E’s average residential PCIA changed over time? Annual Net Revenue Forecast
27 2024 2025 2026
May Budget $12,400,000 $(6,700,000) $6,700,000
Oct Board $14,000,000 $3,300,000 $8,000,000
-$10M
-$5M
$0M
$5M
$10M
$15M
$20M
28 Two-Year Cash Projection
Oct - Dec 2024 CY 2025 Jan - Sep 2026
Min Avg Ending Min Avg Ending Min Avg Ending
May Budget $32.2M $35.1M $35.7M $26.9M $29.5M $28.0M $21.5M $27.4M $31.5M Oct Board $25.7M $28.2M $28.9M $26.5M $30.6M $34.5M $28.7M $35.2M $41.3M $0M
$5M
$10M
$15M
$20M
$25M
$30M
$35M
$40M
$45M
May Budget Oct Board
29 Cash Balance History & Projection
$0M
$5M
$10M
$15M
$20M
$25M
$30M
$35M
$40M
Jan-19
Feb-19
Mar-19
Apr-19 May-19
Jun-19
Jul-19
Aug-19
Sep-19 Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
Apr-20 May-20
Jun-20
Jul-20
Aug-20
Sep-20 Oct-20
Nov-20
Dec-20
Jan-21
Feb-21
Mar-21
Apr-21 May-21
Jun-21
Jul-21
Aug-21
Sep-21 Oct-21
Nov-21
Dec-21
Jan-22
Feb-22
Mar-22
Apr-22 May-22
Jun-22
Jul-22
Aug-22
Sep-22 Oct-22
Nov-22
Dec-22
Jan-23
Feb-23
Mar-23
Apr-23 May-23
Jun-23
Jul-23
Aug-23
Sep-23 Oct-23
Nov-23
Dec-23
Jan-24
Feb-24
Mar-24
Apr-24 May-24
Jun-24
Jul-24
Aug-24
Sep-24 Oct-24
Nov-24
Dec-24
Jan-25
Feb-25
Mar-25
Apr-25 May-25
Jun-25
Jul-25
Aug-25
Sep-25 Oct-25
Nov-25
Dec-25
Jan-26
Feb-26
Mar-26
Apr-26 May-26
Jun-26
Jul-26
Aug-26
Sep-26 Oct-26
Nov-26
Dec-26
Cash Balance Historical + Projected
Cash Balance Historical + Projected
Forecasted PG&E Generation Rate & PCIA
30 $-
$20
$40
$60
$80
$100
$120
$140
$160
$180
$200
$/MWh
May Gen Rate Oct Gen Rate May PCIA Oct PCIA
Forward Energy Prices for RCEA
31 $-
$20
$40
$60
$80
$100
$120
$/MWh
May Budget Forward On-Peak Oct Board Forward On-Peak
May Budget Forward Off-Peak Oct Board Forward Off-Peak
STAFF REPORT
Agenda Item # 6.2
AGENDA DATE: October 24, 2024
TO: RCEA Board of Directors
PREPARED BY: Eileen Verbeck, Interim Executive Director Faith Carlson, Regulatory and Legislative Policy Manager Richard Engel, Director of Power Resources
SUBJECT: Motion to Reconsider: Statewide Allocation of Carbon-Free Attributes from Diablo Canyon Nuclear Power Plant
BACKGROUND
At its September 26, 2024, meeting the RCEA Board of Directors opted not to accept an allocation of nuclear power from the Diablo Canyon power plant. However, staff discovered a process error when the Board was discussing the nuclear allocation. The Board was mistakenly told that all five Community Choice Energy voting members present would need to vote affirmative for an action to pass. This information was in error, and this mistaken information could have influenced the vote. The Board chair, RCEA general counsel, and interim executive director have consulted on this matter and determined that the Board should be provided the opportunity to evaluate whether a correct understanding of the voting process would have changed the outcome of the Board’s vote. The Board has an option to make and pass a motion to reconsider based on the updated understanding of the voting process. If the motion to reconsider passes, the Board will have a second opportunity to vote on the nuclear allocation.
CCE Business Voting Clarification
A quorum for CCE business is at least five (5) voting members and at least 50% of the weighted votes. A CCE motion passes if it receives ayes from a majority of the CCE voting members present and more than 50% of the weighted votes present. Below is a table of the current CCE weighted votes by jurisdiction.
Jurisdiction CCE Weighted Vote
County 39
Eureka 18
Arcata 13
Fortuna 10
Rio Dell 6
Blue Lake 5
Ferndale 5
Trinidad 4
61
The motion to reconsider must be made by someone who voted in the majority at the September 26, 2024, meeting (Director Mike Wilson, Vice Chair Scott Bauer or Chair Sarah Schaefer) and any CCE voting member can second.
Diablo Canyon Nuclear Power Plant Extension
The following is an updated version of the staff report that was presented to the Board at its September 26 meeting.
Diablo Canyon Nuclear Power Plant (DCPP), located near Morro Bay on the central coast, was opened in 1985 and provides 10% of energy in the California grid. 1 In 2016, PG&E applied to
retire the plant in 2025, citing increasing costs of operation. The California Public Utilities Commission (CPUC) approved this application in September of 2020.2 In August of 2020, one month prior to the approval of the retirement, a heat wave led to load spikes, and the state saw rolling outages due to insufficient reliability resources.3 In September of 2022, during another heat wave, policymakers became concerned that with DCPP replacement resources not yet online, the state could see an increase in future outages.
As a result, the California state legislature passed SB 846 (Dodd, 2022). SB 846 invalidates the CPUC’s approval to retire the plant and requires PG&E and state agencies “to take all actions necessary and prudent to extend Diablo Canyon powerplant operations.” As a result, the CPUC issued a decision in December of 2023 to extend operation of DCPP’s two generating units to 10/31/2029 and 10/31/2030.
4 Load Serving Entity (LSE) Allocation of Power
Redwood Coast Energy Authority, along with most other California electricity providers, automatically receives an allocation of the reliability benefits (a.k.a. resource adequacy or RA) from Diablo Canyon. Now that Diablo Canyon operation has been extended because clean replacement resources were not added to the state’s grid as early as anticipated, there is an additional option to receive an allocation of the clean energy attributes alongside those already received reliability benefits associated with the plant. Once the CPUC announces final allocation amounts, which is now expected to occur in early November, each LSE will have 30 days to accept or reject their allocation.
RCEA's customers, like all other electricity users served by providers subject to California Public Utilities Commission regulation, are required to pay a portion of the costs of operating this nuclear plant, which is deemed by the CPUC an important resource for grid reliability in California over the next several years. The funds will be collected through future electric bills.
These ratepayers may receive a share of this carbon-free energy that they have funded.
Each electricity provider can choose whether or not to accept their proportional allocation of the clean energy attribute. Some providers choose to accept the allocation since their customers are already paying for it and accepting it does not result in additional nuclear power generation or development. In addition, the costs of other carbon-free resources such as large hydropower 1 See PG&E Nuclear Power (pge.com) 2 CPUC Decision Approving Retirement of Diablo Canyon Nuclear Power Plant 205090240.PDF (ca.gov) 3 CAISO, CPUC, CEC Issue Final Report on Causes of August 2020 Rotating Outages 4 Decision Implementing Senate Bill 846 499622197.PDF (ca.gov) 62
or renewable energy certificates from sources such as wind, solar, and geothermal power have increased sharply in the past couple of years, making the nuclear allocation more attractive financially as a means of reducing the greenhouse gas emissions associated with a provider's power portfolio.
In prior years, RCEA has been offered separate allocations of nuclear and hydropower carbon-free energy from PG&E’s portfolio paid for by RCEA’s customers through the power charge indifference adjustment (PCIA) line item on their bills. To date, RCEA has rejected this annual nuclear allocation, given our policy of not procuring nuclear power, 5 and because we had other
cost-effective means of meeting our renewable and carbon-free energy targets. RCEA accepts the hydropower allocation as it is not in conflict with our Energy Risk Management Policy.
The extension of Diablo Canyon and increased cost of other emissions-free resources cited above has caused RCEA and other electricity providers to revisit their decisions to reject the nuclear allocation. To accept RCEA’s nuclear allocation for 2025 only, the Board would need to authorize a short-term exception to the nuclear power prohibition in RCEA’s Energy Risk Management Policy. The Policy itself does explicitly allow for such short-term exceptions. In that case, the nuclear power would appear as part of RCEA's portfolio on our 2025 power content label, which will be mailed to all RCEA customers in 2026. Specific allocation amounts have not yet been published, but if accepted, staff expect the allocation in the coming year to meet about 2% of RCEA’s total electricity load.
The Board will be able to revisit this in future years and decide year by year from 2026-2030 whether to accept or decline the nuclear power allocation.
Actions of Other CCAs and Public Input
As of 10/2/2024, these CCAs have chosen to accept their allocation: Ava Community Energy, Desert Community Energy, MCE, Peninsula Clean Energy, Pioneer Community Energy, San Jose Clean Energy, Silicon Valley Clean Energy, and Sonoma Clean Power.
The Diablo Canyon Nuclear Power Plant is located in Central Coast Community Energy’s (3CE) service territory. Like RCEA, 3CE currently has a no nuclear policy. They have yet to bring a request for a decision to their Board, but in previous conversations with the Board related to allocations, there has not yet been a directive to reconsider the no nuclear policy.
RCEA has received a number of written public comment on this agenda item, and it can be viewed at https://redwoodenergy.org/wp-content/uploads/2024/10/Diablo-Canyon-Public-Comment-1.pdf. Staff was able to present this item to our Community Advisory Committee (CAC) at their October 8, 2024, meeting. The CAC voted in favor of recommending that the RCEA Board of Directors accept the nuclear allocation under scenario 2 with 8 votes in favor, 4 opposed, and 1 abstention. Per the CAC’s revised charter when the CAC vote is not unanimous a summary of the discussion will be provided. A summary of the discussion is below:
CAC Members Supportive of Accepting Allocation:
• Cost saving should be used to help the community.
5 Documented in RCEA’s Energy Risk Management Policy: https://redwoodenergy.org/wp-content/uploads/2022/12/RCEA-Energy-Risk-Management-Policy-2022-Update-with-Addendum-A.pdf 63
• Not accepting would be irresponsible in light of RCEA’s financial outlook • Accept to maintain reserve fund and community benefit. • Doesn’t make sense to reject a benefit we are already paying for. • RCEA should be involved in anti-nuclear advocacy.
CAC Members Opposed to Accepting Allocation:
• Diablo Canyon stores nuclear waste in a seismically active area. • RCEA’s public messaging will be that it is moving away from its original goals. • RCEA is more visible in the public and taking the allocation may look bad to the community.
• Accepting the allocation won’t affect customer bills. • Community messaging about accepting the allocation will be difficult and needs to be extremely nuanced.
• Accepting the allocation sends a message to the state that it should revive nuclear power plant development.
SUMMARY OF SCENARIOS
RCEA staff and The Energy Authority presented preliminary information on this potential nuclear allocation to the Board in August as part of our quarterly energy risk update. The following is an updated analysis that the Board considered at their September meeting, consisting of three scenarios.
• Scenario 1 was a “business as usual” one where RCEA does not accept its nuclear allocation.
• Scenario 2 has RCEA accepting the nuclear allocation and using it as a means to reduce procurement costs by substituting the nuclear power for other carbon-free resources.
• In Scenario 3, RCEA uses the allocation as a means to reduce overall GHG emissions without incurring additional costs.
Table 1 compares these scenarios in terms of net revenue impacts, power portfolio makeup, and expected greenhouse gas (GHG) intensity of the portfolio. Note that the net revenue figures shown in the table have improved substantially relative to what was presented to the Board in September. This is due primarily to the CPUC recently updating the market price benchmarks that are used to determine both the value of the Power Charge Indifference Adjustment that RCEA customers pay and the cost of resources that RCEA procures from PG&E through their voluntary allocation to load-serving entities. However, the expected cost savings from accepting the nuclear allocation has not changed significantly.
Table 1. Comparison of nuclear allocation scenarios
64
Scenario 1:
No nuclear RPS
allocation (business
as usual)
Scenario 2:
Accept nuclear RPS
allocation, use to cut
costs while keeping
GHGs constant
(by selling more
expensive hydropower)
Scenario 3:
Accept nuclear
allocation, use to
reduce GHGs while
keeping costs
constant
2025 Net Revenue $3.3M $3.8M $3.3M
same as Scenario 1
2025 Expected Carbon
Free Nuclear in MWh
- 16,483 16,483
2025 % Nuclear in
Power Content Label
(REpower Portfolio)
0% 2% 2%
2025 % Renewable +
Carbon Free
(Repower Portfolio)
88% 88%
same as Scenario 1
91%
2025 GHG emission
factor (lbs
CO2e/MWh)
(REpower portfolio)
308 308
same as Scenario 1
285
Scenario 2 would result in an improvement of RCEA’s 2025 net revenue position through resale of a portion of the hydropower also allocated to RCEA by PG&E. Prices and terms for such resale are uncertain and subject to fluctuation over time, but the currently estimated resale value of an amount of hydropower equivalent to RCEA’s expected nuclear allocation for 2025 is approximately $500,000. This is about a 15% increase in net revenues associated with power procurement and power sales for the year. (This calculation of net revenues is not inclusive of RCEA’s other non-CCA-related expenses and income.)
Scenario 3 would result in about a 7.5% reduction in GHG emissions for the year by replacing generic system power with emissions-free nuclear power.
The nuclear allocation if accepted would appear only in RCEA’s REpower base portfolio.
Because nuclear power is not deemed renewable, it would not be included in RCEA’s REpower+ 100% renewable opt-up portfolio. REpower+ would continue to contain only carbon-free and renewable solar, wind, and small hydro resources.
Whether or not RCEA rejects the nuclear clean energy allocation, due to the automatic allocation of the reliability benefits (RA) of the Diablo Canyon Resource, RCEA will still receive the RA associated with nuclear power as in previous years.
Apart from the allocation decision before the Board, RCEA has the opportunity to reinforce and clarify the anti-nuclear stance in its Energy Risk Management Policy by including a position on nuclear power in its Policy Platform. As directed by the Board in September, staff will bring forth a proposal for such an addition to the Platform at a future Board meeting, following review by the Community Advisory Committee.
ALIGNMENT WITH RCEA’S STRATEGIC PLAN
65
Accepting the nuclear allocation under Scenario 3 would provide one means to help achieve strategy 4.1.2: Minimize Greenhouse Gas Emissions Associated with RCEA’s CCE Program. In its September deliberations the Board focused almost exclusively on Scenarios 1 and 2 and did not seriously entertain accepting the nuclear allocation as a means of reducing GHG emissions.
EQUITY IMPACTS
Not applicable.
FINANCIAL IMPACT
Scenarios 1 and 3 would have no financial impact on RCEA. Under Scenario 2, RCEA is projected to achieve an estimated $500,000 in cost savings for 2025 by selling an equivalent amount of alternative carbon-free resources expected to be allocated to RCEA in 2025. As noted above, prices and terms for such resale are uncertain and subject to fluctuation over time.
STAFF RECOMMENDATIONS
Consider whether to make a motion to reconsider the Diablo Canyon Power Plant nuclear allocation due to clarification of the CCE voting process required to pass a motion on CCE business.
(If motion passes, the Board may discuss the matter again.) Direct staff on whether to accept the nuclear allocation, making a short-term exception to the RCEA Energy Risk Management Policy’s prohibition on nuclear power procurement, as allowed for in the Energy Risk Management Policy.
Provide guidance on strategic use of the nuclear allocation as a tool for cost savings or greenhouse reductions, should the Board elect to accept the allocation.
ATTACHMENTS
None
66 Motion to Reconsider Diablo Canyon Power Plant
Nuclear Allocation
Presentation to Board of Directors
October 24, 2024
Faith Carlson, Regulatory & Legislative Policy Manager
Richard Engel, Director of Power Resources
Introduction
• At its September 26, 2024, meeting the RCEA Board of Directors did not take action on a decision to accept an allocation of nuclear power. The result of not taking action is RCEA not accepting the allocation.
• However, staff discovered a process error was made during Board discussion that may have had bearing on the Board vote.
• The Board now has an opportunity to evaluate whether a correct understanding of the voting process would have changed the outcome of the Board’s vote at their October 24, 2024, meeting.
• The Board has an option to make and pass a motion to reconsider based on the updated understanding of the voting process. If the motion to reconsider passes, the Board will have a second opportunity to vote on the nuclear allocation. • Since the September Board meeting, RCEA’s Community Advisory Committee considered the nuclear allocation and voted to recommend the Board accept the allocation.
Background – Diablo Canyon Power Plant
Diablo Canyon Nuclear Power Plant
• Located in Avila Beach on Central Coast
• Opened in 1985.
• Provides 10% of energy in the California grid
Plant Retirement
• In 2016, PG&E applied to retire the plant in
2025.
• California Public Utilities Commission (CPUC)
approved this application in 2020.
Policy Changes
Heat Waves and Outages:
• August 2020 heat wave led to rolling outages.
• Delays in replacement resources and a September
2022 heat wave led to fear of more outages.
SB 846 (Dodd, 2022) passed to prevent outages:
• Invalidates the CPUC’s approval to retire the plant
• Requires PG&E and state agencies “to take all
actions necessary and prudent to extend Diablo
Canyon powerplant operations.”
• To comply, the CPUC issued a decision in
December of 2023 to extend operation of Diablo
Canyon through 2030.
Allocation of Reliability and Clean Energy Benefits:
• Most California power providers automatically receive an allocation of the reliability benefits (Resource Adequacy) from Diablo Canyon. • Acceptance of clean energy attributes allocation is optional. • RCEA has 30 days from CPUC allocation announcement (still pending, expected early November) to accept or reject their allocation. • If accepted, power would appear in Power Content Label. • CPUC has ordered that CA state ratepayers are required to pay the costs of Diablo Canyon operations.
Allocation of Reliability and Clean Energy Benefits:
• If RCEA accepts the allocation:
• Would receive Clean Energy benefit customers are already paying for. • No additional nuclear power generation or development. • Would show up on our Power Content Label.
• By rejecting allocation:
• Would not receive Clean Energy benefit customers are paying for. • No additional nuclear power generation or development. • Would retain RA benefits without disclosure on our Power Content Label.
Why was this taken to the Board?
• RCEA has prohibited procurement of nuclear power since its 2016 Energy Risk Management Policy (details on next slide)
• To align with the Risk Policy, RCEA has declined the carbon-free allocations of nuclear offered annually by PG&E while accepting carbon-free allocations of large hydro power • The nuclear allocation for 2025 onward is new, specifically due to the extension of Diablo Canyon nuclear plant out to 2030
• Recently increased costs of procuring carbon-free power from alternative sources such as large hydro or renewables has motivated RCEA and other CCAs to bring this matter to their Boards for consideration
Energy Risk Management Policy language
https://redwoodenergy.org/wp-content/uploads/2022/12/RCEA-Energy-Risk-Management-Policy-2022-Update-with-Addendum-A.pdf Alternatives
Accept Nuclear
Allocation?
Yes
Use allocation to
reduce costs
(GHGs unchanged)
Use allocation to
reduce GHGs
(costs unchanged)
No
No change to
power portfolio or
finances
2025 net revenues =
$3.8M
GHGs = 308 lbs
CO2e/MWh
2025 net revenues =
$3.3M
GHGs = 285 lbs
CO2e/MWh
2025 net revenues =
$3.3M
GHGs = 308 lbs
CO2e/MWh
Scenario 1
Scenario 2
Scenario 3
Would make up about
2% of RCEA’s 2025
REpower portfolio
How might a nuclear allocation change our 2025
Power Content Label sent out to customers in 2026?
Note: The numbers shown here are speculative and very preliminary – RCEA’s reportable 2025 procurement numbers will not be finalized until mid-2026 Resource % without nuclear % with nuclear
Solar 40% 40%
Wind 2% 2%
Biomass & Biowaste 15% 15%
Small Hydro 2% 2%
Geothermal 0% 0%
Large Hydro 11% 11%
Nuclear 0% 2%
Natural Gas 0% 0%
Coal & Other Fossil Fuels 0% 0%
Unspecified Power 31% 28%
What have other Community Choice Energy providers decided? Several CCA Boards have voted to accept the allocations:
• MCE (Marin, Solano, Napa, and Contra Costa Counties)
• Sonoma Clean Power (Sonoma and Mendocino Counties)
• Peninsula Clean Energy (San Mateo County)
• Ava (Alameda County and some Central Valley communities) • Desert Community Energy (City of Palm Springs)
• Pioneer Community Energy (Placer and El Dorado Counties) • Silicon Valley Clean Energy (Santa Clara County)
Others (including Central Coast Community Energy, which serves the area where Diablo Canyon is located and also has a nuclear free portfolio policy) have yet to decide.
We have not yet heard of any other CCA declining the allocations.
Community Advisory Committee Discussion
At its Oct. 8, 2024, meeting the RCEA Community Advisory Committee voted in favor of recommending that the RCEA Board of Directors accept the nuclear allocation under Scenario 2, achieving cost savings by selling off an equivalent amount of carbon-free large hydro power.
There were 8 votes in favor, 4 opposed, and 1 abstention.
CAC members echoed support the Board expressed in their September 26 meeting for staff to bring forth policy platform recommendations regarding opposition to further extension of the Diablo Canyon plant’s operation or development of new nuclear power in CA.
STAFF REPORT
Agenda Item # 9.1
AGENDA DATE: October 24, 2024
TO: RCEA Board of Directors
FROM: Faith Carlson, Regulatory and Legislative Policy Manager SUBJECT: Regional Climate Action Plan
SUMMARY
The County Board of Supervisors expects to approve and finalize Humboldt County’s Regional Climate Action Plan (RCAP) within the next month. Redwood Coast Energy Authority (RCEA) staff have been engaging with the County to ensure that the RCAP measures related to RCEA align with the RCEA RePower Plan.
The RCAP includes 29 measures related to carbon-free energy, building energy use, transportation, waste, water/wastewater, and carbon sequestration (a list of these measures and goals is included in Attachment 1). Of the 29 measures RCEA staff have identified 15 measures that RCEA will have either a lead or supportive role in implementation. Due to RCEA’s key role in the RCAP, staff wanted to provide a summary of RCEA specific measures to the Board of Directors.
BACKGROUND ON THE REGIONAL CLIMATE ACTION PLAN
Redwood Coast Energy Authority (RCEA) staff have been working with regional partners on the development of the Draft Regional Climate Action Plan (Draft RCAP) that was released by the County on August 14, 2024, for a 30-day public comment period. The RCAP is expected to be approved and finalized by the County Board of Supervisors during either the October or November Board meeting.
Development of the RCAP strategy identified that the region has greater chance to accomplish goals and achieve GHG reductions when working as a region rather than a collection of individual jurisdictions all implementing the same plan. This approach will allow a consolidation of resources.
The RCAP calls for the formation of a Regional Climate Committee responsible for administering the measures in the CAP. This committee would include representatives from municipalities across Humboldt County as well as representatives from regional agencies such as the HTA, HCAOG, HWMA, and RCEA, and other partner organizations. The purpose of this coalition is to foster collaboration and coordination among the region to address climate-related challenges and implement effective climate action strategies.
The Regional Climate Committee’s work would be facilitated by a Regional Manager. In the short-term, staff from local jurisdictions and agencies will be needed to support this work and the intent is that the committee will seek grant funds to support future work. 67
DRAFT RCAP MEASURES RELATED TO RCEA
RCEA staff have confirmed that all implementation measures involving RCEA in the Draft RCAP are in alignment with the adopted RePower Humboldt plan. The purpose of this staff report is to highlight the measures that RCEA will have either a lead or supportive role in implementation.
These measures include:
• C-1: Support the development of a regional climate coalition through the establishment of a Regional Climate Committee comprised of representatives from each jurisdiction, HTA, HCAOG, HWMA, and RCEA
• BE-1: Increase carbon free electricity by sourcing 90% of grid-supplied electricity from renewable and carbon-free sources by 2030. RCEA will have a lead role. • BE-2: Increase carbon free electricity by increasing the development of micro-grids and energy storage across the region. RCEA will have a lead role. • BE-3 Urban: Decarbonization of existing construction by supporting the reduction of existing residential natural gas consumption by 4% by 2030 and 74% by 2045. • BE-3 Rural: Decarbonization of existing construction by supporting the reduction of existing residential natural gas consumption by 5% by 2030 and 79% by 2045. • BE-4: Decarbonization of existing construction by supporting the reduction of existing nonresidential natural gas and fossil-fuel consumption. • BE-5: Decarbonization of new residential construction by supporting feasibility studies, leveraging microgrids, providing incentives, and partnering to establish a clear path for electrification.
• BE-6: Decarbonization of new non-residential construction by supporting feasibility studies, leveraging microgrids, providing incentives, and partnering to establish a clear path for electrification.
• BE-7: Decarbonization of existing construction by supporting decarbonization of 30% of municipal buildings and facilities by 2030 through energy audits. • BE-8: Increase carbon free electricity by advocating for offshore wind developers and PG&E to build electrical infrastructure to supply Humboldt with energy produced by the future offshore wind project which will increase regional supply and resilience. • T-3: Shift land use to reduce vehicle miles travelled by consulting with RCAP partners to plan prospective mixed-use and infill projects so that they include design considerations with regards to alternative energy access, generation, and EV infrastructure. • T-6: Increase zero emission vehicle adoption by decarbonizing 15% of passenger vehicle miles traveled by 2030 and 100% by 2045 through increased adoption of low and zero emission vehicles and development of a regional electric vehicle charging and hydrogen fueling network.
• T-9: Increase zero emission vehicle adoption by establishing Humboldt as a pilot program for the decarbonization of the transportation sector to help drive State and philanthropic investment throughout Humboldt.
• T-10: Increase zero emission vehicle adoption by working with the State and renewable fuel industry to establish a renewable fuel network within Humboldt thereby funding new green industry and job growth to support the decarbonization of the transportation sector.
68
• CS-1: Increase carbon sequestration through research and implementation of feasible carbon sequestration technology opportunities to support growth and expansion of green jobs industry within the region.
These measures build off current RCEA efforts that are already underway, including:
• Advocacy for Humboldt Generating Station curtailment and eventual retirement. • Long- and short-term renewable and carbon-free energy procurement. • Development of the Northern California Rural Regional Energy Network and related programs.
• Development of a critical facilities inventory and projects such as the Regional Resilience Grant Program which will install solar plus storage at 17 rural fire stations. • Partnership in microgrid projects such as TERAS (Tribal Energy Resilience and Sovereignty).
• Advocacy to state and federal agencies with oversight over the offshore wind infrastructure build out.
• Demand side management programs to decarbonize structures, such as the Energy Advisor program, Residential Equity Programs, Local Government Partnership Program, and rebate programs.
• Development and maintenance of the RCEA Electric Vehicle Network (REVnet) which is a regional network of electric vehicle charging stations. • Research on feasibility of transportation decarbonization, including the Medium Duty/Heavy Duty Blueprint.
Staff will continue to be involved in the RCAP as requested and is committed to supporting jurisdictions as they navigate the RCAP process.
OTHER AGENCY INVOLVEMENT
As stated above, the preparation of the Humboldt RCAP has been a collaborative effort that has involved:
City of Eureka
City of Arcata
City of Blue Lake
City of Trinidad
City of Ferndale
City of Fortuna
City of Rio Dell
Redwood Coast Energy
Authority
Humboldt County Association
of Governments
Humboldt Waste
Management Authority
ALIGNMENT WITH RCEA’S STRATEGIC PLAN
RCEA staff have confirmed that all implementation measures involving RCEA in the Draft RCAP are in alignment with the adopted RePower Humboldt plan.
FINANCIAL IMPACT
The financial impact of RCEA supporting RCAP implementation measures are unknown at this time. RCEA has not received funding from any of the regional partners to assist in this work.
However, one of the stated tasks of the Regional Climate Committee is to seek out external funding for implementation.
69
STAFF RECOMMENDATION
None – information only.
ATTACHMENTS
RCAP Executive Summary
70 Attachment 1
Humboldt RCAP Executive Summary
Recognizing the strength in collaboration, the County of Humboldt, City of Arcata, City of Blue Lake, City of Eureka, City of Ferndale, City of Fortuna, City of Rio Dell, and City of Trinidad, collectively referred to as Humboldt hereafter, have crafted a Regional Climate Action Plan (RCAP) to provide a framework to reduce regional greenhouse gas (GHG) emissions in alignment with the State’s goal to reduce emissions by 40 percent below 1990 levels by 2030 (Senate Bill 32) and to reach carbon neutrality by 2045 (Assembly Bill 1279) . Through the development of a climate committee and the regional implementation of the measures and actions included in this RCAP, Humboldt will be able to maximize regional efficiencies, overcome challenges facing rural areas, attract funding, build a green economy, mitigate emissions, and increase resilience.
Humboldt GHG Emission Inventory
The 2022 Humboldt GHG emissions inventory encompasses regional community-wide activities from both incorporated and unincorporated jurisdictions within the boundary of Humboldt County. Pursuant to the International Council for Local Environmental Initiatives (ICLEI) methodologies, specifically, the United States Community Protocol for Accounting and Reporting Greenhouse Gas Emissions Version 1.2 (Community Protocol), the GHG inventory encompasses sectors associated with Humboldt’s community activities and over which the local government has jurisdictional control or influence (Building energy, transportation, solid waste, water and wastewater) Note that water services to Humboldt occur fully within Humboldt county boundary and are therefore already encompassed within the energy sector. In 2022 Humboldt emitted 1,531,167 metric tons of carbon dioxide equivalents (MT CO2e). Figure ES- 1 shows the share of total emissions for the community broken out by community-wide activity.
71 County of Humboldt
Humboldt County Regional Climate Action Plan
2 Figure ES- 1 Humboldt GHG Emissions for 2022
Humboldt Projected GHG Emission Forecast
Based on current community activity rates from the 2022 inventory and projected population and employment change in the region, future Humboldt GHG emissions were projected through 2045. Two scenarios were forecast to estimate the future emissions for Humboldt in the years 2030, 2035, 2040 and 2045. This includes a business-as-usual scenario (BAU) forecast that estimates how future GHG emissions would change if consumption trends continued as they did in 2022 without consideration of any local or state regulations. Additionally, a legislative adjusted scenario (adjusted) forecast was developed that accounts for how currently adopted state legislation, such as the California Renewable Portfolio Standards, Title 24 building energy efficiency standards, and transportation legislation, would reduce GHG emissions from the business-as-usual scenario. Humboldt’s adjusted forecast projects emissions to be 1,459,598 MT CO2e in 2030 and 1,387,943 MT CO2e in 2045. Forecasted emissions by community sector for both the 2030 and 2045 target years are shown in Figure ES-2.
On-road
Transportation
73%
Building Natural
Gas
13%
Off-road
Equipment
8%
Solid Waste
2%
Heating Fuel
2%
Building Electricity
1% Wastewater
1%
72 Humboldt RCAP Executive Summary
3 Figure ES- 2 Humboldt Forecasted GHG Emissions by Sector for 2022, 2030 and 2045
Humboldt GHG Emissions Targets
California has established Statewide GHG reduction goals for 2030 and 2045 that are relative to a 1990 baseline emissions level. The State has encouraged communities to adopt their own plans consistent with the goals included in the California Air Resources Board (CARB) 2022 Scoping Plan. Humboldt does not have a 1990 GHG emissions inventory from which to develop GHG reduction targets consistent with SB 32, however, 1990 GHG emissions can be estimated for the community relative to Humboldt’s updated 2022 inventory using a state-level emissions change metric. As part of the RCAP, 1990 emission levels for Humboldt were calculated following the State-recommended procedure. In 1990, it is estimated that Humboldt GHG emission levels were 2,069,316 MT CO2e. In support of State climate goals, Humboldt has adopted the following GHG emission reduction targets:
Reduce GHG emissions to 40% below 1990 levels by 2030 (SB 32 target year) Carbon neutrality by 2045 (AB 1279 target year)
This results in an emission target of 1,241,589 MT CO2e by 2030 and 0 MT CO2e by 2045. The corresponding GHG emissions target pathway over the coming decades is illustrated in Figure ES- 3. The emissions gap between Humboldt GHG emission forecast and the emission targets is the quantity of GHG emissions that Humboldt is responsible for reducing with regional actions.
0 200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2022 2030 2045
MT CO2e
Building Energy Transportation Waste Water Wastewater
73 County of Humboldt
Humboldt County Regional Climate Action Plan
4 Figure ES- 3 Humboldt GHG Emission Reduction Targets
The measures and actions in the RCAP and the establishment and emphasis of the climate committee will provide Humboldt with the GHG reduction necessary to achieve Humboldt’s 2030 climate action target and substantial progress towards the 2045 target, as shown in Table ES- 1. However, the 2045 GHG emissions reductions quantified for their longer-term measures are not yet enough to meet Humboldt’s 2045 climate action target of carbon neutrality. This RCAP strives to institute equitable and resilient systems and make substantial progress towards eventual carbon neutrality. Further updates to the Humboldt RCAP beyond 2030 will also delineate new technologies, legislation, and additional measures and actions that Humboldt will implement to close the remaining gap to achieve the carbon neutrality target.
Table ES- 1 Humboldt GHG Emission Reduction Pathway
Target/Forecast
2030 GHG Emissions
(MT CO2e)
2045 GHG Emissions
(MT CO2e
Adjusted Forecast 1,459,598 1,387,943
Reductions from Full Implementation of Measures 219,446 1,228,128 GHG Emissions after Measure Reductions 1,240,151 159,815 Climate Action Targets 1,241,589 0
Target Anticipated to be Met? Yes Substantial progress demonstrated 2045 Emissions Gap
(1,387,943) MT CO2e
Adjusted Forecast
2022 Emissions
1,531,167 MT CO2e
2030 Target
1,241,589 MT CO2e
2045 Target
0 MT CO2e
1990 Emissions
2,069,316 MT CO2e
1990 Emissions
0 500,000
1,000,000
1,500,000
2,000,000
2,500,000
2022 2030 2035 2040 2045
GHG Emissions (MT CO2e)
74 Humboldt RCAP Executive Summary
5 Humboldt RCAP Measures to be Implemented by 2030
The RCAP's overarching approach emphasizes leveraging a formal climate coalition to implement region-wide measures for impactful reduction of GHG emissions.
Effective strategies are those that are specific, measurable, feasible, relevant, and time-bound. The RCAP strategies are organized by sector where measures establish specific goals measurable through a discrete performance metric to reduce GHG emissions by a quantifiable level within a specific time period. Measures are supported by actions, the discrete steps Humboldt will take to achieve the measure goal. The measures and actions are supported by substantial evidence and have been designed using principles called key attributes that support changes that are robust, effective, and inclusive. Key attributes include structural change, engagement, equity, feasibility studies, funding, and partnerships. Further, the measures and actions have been developed to account for strategy differences in rural (i.e., dispersed population with limited access to energy and transportation infrastructure) versus urbanized areas (i.e., more densely developed areas with greater access to energy and transportation infrastructure). Through full implementation of the RCAP suite of measures summarized in Table ES- 2, Humboldt will achieve the regions 2030 target of 1,241,589 MT CO2e and make substantial progress towards the 2045 target.
Table ES- 2 Humboldt RCAP GHG Emission Reduction Measures Overview Measure
ID
Measure Text GHG Emission
Reduction
Potential
(MT CO2e)
Measure
C-1
Establish a Regional Climate Committee comprised of elected officials from each jurisdiction, HTA, HCAOG, HWMA, and RCEA.
Supportive/Critical
Measure
BE-1
By 2030, source 90% of grid-supplied electricity from renewable and carbon-free sources.
2030: 15,403
2045: 0
Measure
BE-2
Increase the development of micro-grids and storage across the region to support RCEA’s RePower Humboldt goals of enhancing grid capacity and facilitating the electrification of buildings and transportation.
Supportive
Measure
BE-3
Urban
Reduce existing residential building natural gas consumption by 4% by 2030 and 74% by 2045.
2030: 2,603
2045: 55,866
Measure
BE-3
Rural
Reduce existing residential fossil-fuel consumption in households not connected to natural gas infrastructure by 2% by 2030.
Supportive
Measure
BE-4
Reduce existing nonresidential building natural gas consumption by 5% by 2030 and 79% by 2045.
2030: 3,821
2045: 42,887
75 County of Humboldt
Humboldt County Regional Climate Action Plan
6 Measure
ID
Measure Text GHG Emission
Reduction
Potential
(MT CO2e)
Measure
BE-5
Decarbonize 95% of new residential building construction by 2027. 2030: 2,252 2045: 13,907
Measure
BE-6
Decarbonize 95% of new nonresidential building construction by 2027. 2030: 1,374 2045: 8,492
Measure
BE-7
Decarbonize 30% municipal buildings and facilities by 2030. Supportive Measure
BE-8
Lobby Off-shore Wind developers and PG&E to build electrical infrastructure to supply Humboldt with energy produced by the off-shore wind project which will increase supply and resilience.
Supportive
Measure
TR-1
Urban
Implement programs, such as those identified in HCAOG’s RTP, to increase the mode share of active transportation in urbanized areas from 9% to 12% by 2030, thereby achieving a regional active transportation mode share of 8%. 2030: 1,147
2045: 2,594
Measure
TR-1
Rural
Implement programs, such as those identified in HCAOG’s RTP, that increase access to safe active transportation, to increase the mode share of active transportation in rural areas from 5% to 6% by 2030 thereby achieving a regional active transportation mode share of 9%.
2030: 1,080
2045: 4,405
Measure
TR-2
Urban
Expand the public transit network in support of HCAOG’s Regional Transportation Plan to increase public transit mode share from 2% to 20% public transit mode share in urbanized areas to achieve a regional 13% public transit mode share by 2030. 2030: 18,055
2045: 26,482
Measure
TR-2
Rural
Develop a robust public transit network in support of HCAOG’s Regional Transportation Plan to increase public transit mode share from 1% to 10% in rural areas and achieve a regional 13% public transit mode share by 2030. 2030: 20,180
2045: 29,703
Measure
TR-3
Reduce regional VMT by increasing promotion of mixed-use development in infill priority areas in alignment with HCAOG’s baseline connectivity score included in the RTP.
Supportive
Measure
TR-4
Develop and implement regional mobility hubs and ZEV car-share programs to support mode shift from single occupancy vehicles.
Supportive
Measure
TR-5
Require commercial and industrial employers with 25 employees or more to develop a Transportation Demand Management plan.
Supportive
Measure
TR-6
Decarbonize 15% of passenger vehicle miles traveled by 2030 and 100% by 2045 through increased adoption of low and zero-emission vehicles and development of a regional electric vehicle charging and hydrogen fueling network. 2030: 55,726
2045: 590,124
Measure
TR-7
Increase commercial zero-emission vehicle use and adoption to 10% by 2030 and 100% by 2045 through a regional charging network and development of hydrogen hubs.
2030: 17,441
2045: 279,775
Measure
TR-8
Electrify or otherwise decarbonize 12% of applicable SORE off-road equipment by 2030 and 100% by 2045 and replace fossil diesel consumption with renewable diesel in 55% of applicable large diesel in alignment with EO N-79-20 by 2030. 2030: 49,143
2045: 139,645
Measure
TR-9
Establish Humboldt as a pilot program for the decarbonization of the transportation sector to help drive state and philanthropic investment throughout Humboldt.
Supportive
76 Humboldt RCAP Executive Summary
7 Measure
ID
Measure Text GHG Emission
Reduction
Potential
(MT CO2e)
Measure
TR-10
Work with the state and biofuel industry to establish a biofuel network within Humboldt thereby funding new green industry and job growth to support the decarbonization of the transportation sector.
Supportive
Measure
TR-11
Lead by example and electrify or otherwise decarbonize 50% of the municipal fleet by 2030 in alignment with the state’s Advanced Clean Fleet Rule.
Supportive
Measure
SW-1
Establish a local waste separation facility and organics management to be able to reduce waste sent to landfills by 75% by 2030. Reduce GHG emissions by limiting truck trips required to ship waste out of the county and import compost from out of the county.
2030: 29,689
2045: 32,568
Measure
WW-1
Expand regional opportunities for implementation of wastewater decarbonization technologies such as anaerobic digesters to reduce GHG and produce renewable fuel sources.
Supportive
Measure
WW-2
Reduce per capita potable water consumption by 15% by 2030. Supportive Measure
CS-1
Research and implement feasible carbon sequestration technology opportunities to support growth and expansion of green jobs industry within the region.
Supportive
Measure
CS-2
Offset fossil-based emissions and increase carbon sequestration in the community by achieving SB 1383 procurement requirements (0.08 tons recovered organic waste per person) by 2030.
2030: 1,532
2045: 1,681
Measure
CS-3
Develop a County-wide Natural and Working Lands GHG Inventory baseline by 2027 to better understand the existing and future GHG sequestration and help obtain resources to protect and increase natural carbon sequestration occurring in the region as well as promote biodiverse forests and wetlands resistant to wildfire.
Supportive
Total GHG Emission Reduction Potential 2030: 219,446
2045: 1,228,128
* Measures and actions marked as “supportive” may also be quantifiable and have substantial evidence to support their overall contribution to GHG reduction, but they are not quantified for one of several factors. Refer to RCAP Appendix C for more information.
Humboldt RCAP Implementation and Monitoring
The RCAP has established an implementation plan and schedule to achieve the 2030 GHG emissions reductions goals and make substantial progress to the 2045 goals. As part of the RCAP, Measures will be implemented using a phased approach with progress reports prepared on a bi-annual basis starting in 2026. The bi-annual progress reports will include the preparation of a regional community-wide GHG emissions inventory, as well as status update on implementation of RCAP Measures and Actions. Tracking implementation of the plan in conjunction with the inventory updates will demonstrate the progress the region is making in reducing GHG emissions and achieving its 2030 goal. If the actions identified in the RCAP to meet 77 County of Humboldt
Humboldt County Regional Climate Action Plan
8 the 2030 GHG emissions reduction milestone goal are not implemented or if the bi-annual inventory and progress report indicates that the region is off-track from achieving the 2030 goal, the RCAP will be updated to include additional actions or revised actions necessary to meet the 2030 goals.
The RCAP is a long-term programmatic plan consistent with California Environmental Quality Act (CEQA) Guidelines Section 15183.5(b) that will be implemented through regular monitoring and updates to meet the State’s SB 32 GHG emission reduction goals and demonstrate substantial progress towards the State’s AB 1279 carbon-neutrality goals. The RCAP is currently undergoing CEQA environmental review.
Following environmental review and adoption in a public process, the RCAP will fulfill the CEQA requirements to be considered a “qualified” GHG reduction plan.
Meeting these requirements means that if projects and plans within the Humboldt region in jurisdictions that have adopted the RCAP are consistent with the RCAP, CEQA analysis can be streamlined for projects by establishing consistency with the RCAP such that project GHG emissions may be considered to have a less than significant impact.
78 STAFF REPORT
Agenda Item # 10.1
AGENDA DATE: October 24, 2024
TO: Board of Directors
FROM: Eileen Verbeck, Interim Executive Director
SUBJECT: Interim Executive Director’s Report
SUMMARY
Interim Executive Director Eileen Verbeck will provide updates on topics as needed.
RECOMMENDED ACTION
None. (Information only.)
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