Agenda packet — Redwood Coast Energy Authority Board of Directors, February 27, 2025

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, downstairs Bay Room February 27, 2025 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 February 27, 2025, Board of Directors Meeting Agenda

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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 January 23, 2025, Board Meeting.

4.2 Approve Disbursements Report.

4.3 Accept Financial Reports.

4.4 Adjust RCEA Finance Committee Term Appointment Dates to End on February 28, 2026, to Simplify Mid-Year Budget Adjustment Meeting Scheduling.

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.

6. OLD CCE BUSINESS

6.1. Energy Risk Management Semi-Annual Report
Accept Energy Risk Management Semi-Annual Report.

7. NEW CCE BUSINESS – None.

END OF COMMUNITY CHOICE ENERGY (CCE) BUSINESS

8. OLD BUSINESS – None.

9. NEW BUSINESS

9.1 Fiscal Year 2024-25 Mid-Year Budget Adjustment
Approve proposed changes to the RCEA Fiscal Year 2024-25 Budget. 2 RCEA February 27, 2025, Board of Directors Meeting Agenda

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9.2 Federal Activity Update
Give guidance on level of engagement with Federal Government and how often staff should report back on federal developments.

10. STAFF REPORTS

10.1 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
Thursday, March 27, 2025, 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
intentionally
left blank.
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STAFF REPORT
Agenda Item # 1.1
AGENDA DATE: February 27, 2025
TO: RCEA Board of Directors
FROM: Eileen Verbeck, Deputy 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

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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 January 23, 2025
1 Marina Way, Eureka, CA 95501 Thursday, 3:30 p.m.

Chair Sarah Schaefer called a meeting of the Board of Directors of the Redwood Coast Energy Authority to order on the above date at 3:34 p.m. Notice of this meeting was posted on January 17, 2025.

PRESENT: Natalie Arroyo, Michael Gerace, Skip Jorgensen, Jason Ramos, Elise Scafani, Chair Sarah Schaefer, Jack Tuttle, Frank Wilson, Sheri Woo. ABSENT: Vice Chair Scott Bauer, Kris Mobley.

STAFF AND OTHERS PRESENT: Business Planning and Finance Director Lori Biondini, Executive Director Elizabeth Burks, Board Clerk Lori Taketa, Deputy Executive Director Eileen Verbeck.

BOARD APPOINTMENTS

2.1 Election of Officers and Community Advisory Committee Liaisons Chair Schaefer nominated Vice Chair Bauer to serve as Chair, and nominated Director Mobley as Vice Chair, although the Director was absent and had not been asked whether she would like to serve in that capacity. Director Woo volunteered to serve as Vice Chair should Director Mobley be unable to do so. There was no public comment on these items.

M/S: Arroyo, Scafani: Appoint Scott Bauer as RCEA Board Chair and Kris Mobley as Vice Chair, and Sheri Woo as Alternate Vice Chair should Kris Mobley be unable to serve, through January 2026, and authorize the Chair and Vice Chair as signers on RCEA bank accounts.

The motion passed with a unanimous vote. Ayes: Arroyo, Gerace, Jorgensen, Ramos, Scafani, Schaefer, Tuttle, Wilson, Woo. Noes: None. Absent: Bauer, Mobley. Abstain:

None.

M/S: Tuttle, Ramos: Appoint Sarah Schaefer as Board Liaison, and Natalie Arroyo as alternate liaison, to the Community Advisory Committee to serve through January 2026.

The motion passed with a unanimous vote. Ayes: Arroyo, Gerace, Jorgensen, Ramos, Scafani, Schaefer, Tuttle, Wilson, Woo. Noes: None. Absent: Bauer, Mobley. Abstain:

None.

Both Chair-Elect Bauer and Vice Chair-Elect Mobley were absent. Chair Pro Tem Schaefer continued facilitating the meeting.

2.2 Board Committee Member Assignment
There was no public comment on this item.
7 RCEA January 23, 2025, Board of Directors Meeting DRAFT Minutes

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M/S: Scafani, Woo: Appoint Directors Gerace, Jorgensen, Ramos and Wilson, and Chair Bauer to serve on the standing Finance Committee for one-year terms ending on the first regular Board meeting of 2026.

The motion passed with a unanimous vote. Ayes: Arroyo, Gerace, Jorgensen, Ramos, Scafani, Schaefer, Tuttle, Wilson, Woo. Noes: None. Absent: Bauer, Mobley. Abstain:

None.

REPORTS FROM MEMBER ENTITIES
Director Arroyo will report back on lessons learned from a Coastal Counties Supervisors’ Group discussion of the Moss Landing battery facility fire. Director Arroyo would like to arrange a Lake County geothermal project visit and invited other directors to attend.

CONSENT CALENDAR

5.1 Approve Minutes of December 17, 2024, Board Special Meeting.

5.2 Approve Disbursements Report.

5.3 Accept Financial Reports.

5.4 Approve 2025 RCEA Board of Directors Meeting Calendar.

5.5 Approve Updated and Unchanged Community Choice Energy Weighted Board Vote Distribution.

5.6 Reappoint Deborah Dukes, Richard Johnson, Luna Latimer and Kit Mann to the Community Advisory Committee for Terms Ending March 31, 2027.

5.7 Approve Amendment No.1 to the Professional Services Agreement with Sierra Business Council in the Amount of $413,628.59 for RuralREN North Startup Services and Authorize the Executive Director to Execute All Applicable Documents.

5.8 Approve Engagement with Baker Tilly US, LLP for audit of the Redwood Coast Energy Authority financial statements for the years ended June 30, 2024 to 2026 and authorize the Executive Director to execute all applicable documents.

5.9 Approve the Memorandum of Understanding and the Ground Lease to Install, Operate, and Maintain Electric Vehicle Supply Equipment at Carlson Park Between RCEA and the City of Arcata and Authorize the Executive Director to Execute All Applicable Documents.

Director Arroyo requested discussion of item 5.5. No member of the public requested separate consent calendar item discussion.

M/S: Woo, Jorgensen: Approve all Consent Calendar items except item 5.5.

The motion passed with a unanimous vote. Ayes: Arroyo, Gerace, Jorgensen, Ramos, Scafani, Schaefer, Tuttle, Wilson, Woo. Noes: None. Absent: Bauer, Mobley. Abstain:

None.

REMOVED FROM CONSENT CALENDAR ITEM
Director Arroyo relayed complaints about Tribal Member Directors not being able to vote on Community Choice Energy (CCE) matters. CCE participation is limited under the California Public Utilities Code to cities, counties and cities and counties. RCEA is the first CCE to 8 RCEA January 23, 2025, Board of Directors Meeting DRAFT Minutes

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include Tribal Governments in its broader joint powers authority (JPA) membership. The directors discussed how all JPA members have an equal vote on actions incurring agency-wide liability, such as entering contracts; how the CCE weighted vote was calculated; how a Tribe member living on Tribal lands is represented in RCEA matters; and how RCEA might advocate at the CPUC on Tribal member CCE representation. Staff and RCEA’s General Counsel will report at a future meeting on RCEA’s CCE voting system, existing law and possible action. The Board took no action to approve the unchanged, updated weighted vote, as required biennially by RCEA’s Amended Joint Powers Agreement. There was no public comment.

Chair Pro Tem Schaefer confirmed that a Community Choice Energy quorum was present.

OLD CCE BUSINESS

7.1. Annual Humboldt Sawmill Company Alternative Biomass Use Report (Information only) Executive Director Burks reported on HSC’s annual assessment of its biomass use which resulted from community concerns about the company’s power purchase agreement with RCEA, and the annual process of evaluating HSC-provided data. An overview of this year’s data was shared. The Biomass Technical Advisory Group was asked to examine the material in detail, and their resulting questions and requests for HSC were shared. The Community Advisory Committee discussed the report and the BTAG’s comments earlier this month.

The Directors discussed HSC’s efforts to reduce its Scotia plant’s greenhouse gas emissions and air pollutants, the relative value of performance comparisons with biomass plants using drier fuels, and the need to refer claims of invalid plant operation permits to the Air Quality Management District. The directors expressed a desire to know more about HSC’s long-term plans for its Scotia biomass plant and air quality monitoring studies. There were no public comments on this item.

NEW BUSINESS

10.1 Approve Cost-of-Service Rate Setting Analysis Solicitation Deputy Executive Director Verbeck described RCEA’s current electricity rate setting method and its effectiveness during the CCE program’s launch period. Over time, market pressures combined with this rate-setting method forced RCEA to scale back its renewable energy portfolio goals. Many CCE programs are adopting a different rate-setting model based on the actual cost to provide electricity to customers. This cost-of-service model improves financial planning, increases independence from PG&E’s rate-changing pressures, and protects against legal challenges.

Directors discussed the risk of having higher electricity rates than PG&E, the need to conduct vigorous public education and outreach before adopting this rate setting method, and the importance of knowing how much agency goals cost when doing strategic planning. There were no public comments on this item.

M/S: Jorgensen, Gerace: Authorize staff to prepare and release a solicitation for cost-of-service analysis and rate design consulting, following review and approval by RCEA administrative staff and legal counsel.
9 RCEA January 23, 2025, Board of Directors Meeting DRAFT Minutes

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The motion passed with a unanimous vote. Ayes: Arroyo, Gerace, Jorgensen, Ramos, Scafani, Schaefer, Tuttle, Wilson, Woo. Noes: None. Absent: Bauer, Mobley. Abstain:

None.

10.2 Reserve Policy Adoption
Deputy Executive Director Verbeck and Business Planning and Finance Director Biondini described the importance of building secure reserves when setting rates. Due to the COVID pandemic, RCEA has previously not been able to meet its launch period minimum reserve target levels. The proposed Reserve Policy goals are to build a reserve of 180 days of CCE program operating costs held in an unrestricted cash position, and to maintain the target reserve level for 12 months before exploring options to direct net revenue back into the community. This reserve level matches reserve targets of most CCE programs, can significantly lower CCE program operating expenses and provide operations stability in an increasingly volatile energy market.

The directors discussed the current reserve balance, Proposition 26 restrictions on use of funds, whether RCEA can offer customer solar power and battery rebate programs, and the decision to pause RCEA’s plans to construct an office building due to budget constraints.

There were no public comments on this item.

M/S: Arroyo, Ramos: Adopt Resolution 2025-1, Adopting a Redwood Coast Energy Authority Reserve Policy, and direct staff to draft a Dividend Program Proposal to be presented to the Community Advisory Committee for input.

The motion passed with a unanimous vote. Ayes: Arroyo, Gerace, Jorgensen, Ramos, Scafani, Schaefer, Tuttle, Wilson, Woo. Noes: None. Absent: Bauer, Mobley. Abstain:

None.

STAFF REPORTS

11.1 Executive Director’s Report (Information only)
Executive Director Burks reported on her first weeks on the job, the agency’s new website, and encouraged new jurisdiction representatives to participate in RCEA orientation sessions.

Staff are tracking the many presidential executive orders and their effect on RCEA program funding, especially the Tribal Energy Resilience and Sovereignty microgrid project. Chair Pro Tem Schaefer presented Deputy Executive Director Eileen Verbeck with a certificate of appreciation for her service as Interim Executive Director. There were no public comments on this item.

Chair Pro Tem Schaefer thanked the Board for the opportunity to serve as Chair and adjourned the meeting at 5:21 p.m.

Lori Taketa
Board Clerk
10 Accrual Basis Redwood Coast Energy Authority
Disbursements Report
As of December 31, 2024
Type Date Num Name Memo Amount
Bill Pmt -Check 12/04/2024 ACH The Energy Authority CAISO Weekly plus RA -3,138,038.15 Liability Check 12/06/2024 ACH Ascensus Paydate 12/06/24 -15,080.28 Liability Check 12/06/2024 ACH Ascensus Paydate 12/06/24 -12,702.59 Liability Check 12/06/2024 ACH EDD Paydate 12/06/24 -10,634.28 Liability Check 12/06/2024 ACH Internal Revenue Service Paydate 12/06/24 -44,507.65 Bill Pmt -Check 12/06/2024 ACH Sonoma Clean Power Authority Nov 2024 - Flex RA sale - Monthly -261,000.00 Bill Pmt -Check 12/06/2024 ACH Viridity Energy Solutions, Inc. Tierra Buena RA-November 2024 -16,900.00 Check 12/06/2024 18977 CCE Customer CCE Equipment Rebate -Res #241023-2286 -50.00 Check 12/06/2024 18978 NEM Customer 2024 NEM Payout-Transitional -641.83 Check 12/06/2024 18979 CCE Customer CCE Equipment Rebate -Res #241023-2285 -100.00 Check 12/06/2024 18980 CCE Customer CCE Equipment Rebate -Res #241002-2257 -150.00 Check 12/06/2024 18981 CCE Customer CCE Heat Pump Rebate -Res #241110-2307 -975.00 Check 12/06/2024 18982 CCE Customer CCE Heat Pump Rebate -Res #240924-2246 -1,050.00 Check 12/06/2024 18983 CCE Customer CCE Heat Pump Rebate -Res #241104-2295 -1,050.00 Check 12/06/2024 18984 CCE Customer CCE Heat Pump Rebate -Res #241106-2300 -1,050.00 Check 12/06/2024 18985 CCE Customer CCE Heat Pump Rebate -Res #241120-2329 -1,225.00 Check 12/06/2024 18986 Willdan Energy Solutions County of Humboldt: 5630 S Broadway St. -700.00 Bill Pmt -Check 12/06/2024 18987 Adventures Edge Nov 2024: 1 E-Bike Voucher -350.00 Bill Pmt -Check 12/06/2024 18988 Amazon.com Monthly billing - Oct 2024 -2,663.60 Bill Pmt -Check 12/06/2024 18989 AT&T RCAM router: 10/19-11/18/24 -163.00 Bill Pmt -Check 12/06/2024 18990 Baker Tilly US, LLP Audit services - period ending 11/30/2024 -1,402.00 Bill Pmt -Check 12/06/2024 18991 Bishop, M. Mileage reimbursement - November 2024 -71.02 Bill Pmt -Check 12/06/2024 18992 Bithell, M. Nov 2024 Mileage & Purchase Reimb -42.88 Bill Pmt -Check 12/06/2024 18993 Boudreau, D. Mileage & Purchase Reimbursement: Nov 2024 -21.65 Bill Pmt -Check 12/06/2024 18994 Braun Blaising & Wynne, P.C. Legal Services - Regulatory -Oct 2024 -209.25 Bill Pmt -Check 12/06/2024 18995 City of Arcata Nov 2024 Excessive Energy Use Tax -840.35 Bill Pmt -Check 12/06/2024 18996 City of Arcata Nov 2024 Utility User Tax -12,142.22 Bill Pmt -Check 12/06/2024 18997 CPS HR Consulting Training Course for Lori T. -150.00 Bill Pmt -Check 12/06/2024 18998 Developed Employment Services, LLC. 805 3rd St. Yard work -77.56 Bill Pmt -Check 12/06/2024 18999 Engel, R. Nov 2024 Mileage Reimb -32.16 Bill Pmt -Check 12/06/2024 19000 Enterprise Car rental Nov 2024 -114.87 Bill Pmt -Check 12/06/2024 19001 Frontier Energy, Inc. NREN Program Consulting - Oct 2024 -14,013.75 Bill Pmt -Check 12/06/2024 19002 Hilson, D. Mileage reimbursement - Nov 2024 -79.19 Bill Pmt -Check 12/06/2024 19003 Humboldt Bay Coffee Co. Office Coffee-917 3rd St -43.25 Bill Pmt -Check 12/06/2024 19004 Humboldt HyCycle Nov 2024: 1 E-Bike Voucher -1,000.00 Bill Pmt -Check 12/06/2024 19005 iPROMOTEu.com, Inc Promotional material and event supplies -782.68 Bill Pmt -Check 12/06/2024 19006 Law Offices of Susie Berlin Oct 2024 Legal Services - NREN Support -273.00 Bill Pmt -Check 12/06/2024 19007 Mission Linen & Uniform Service Nov & Dec 2024 mat service and supplies -296.88 Bill Pmt -Check 12/06/2024 19008 Pacific Paper Company Office Supplies: Annual Calendar Order -77.35 Bill Pmt -Check 12/06/2024 19009 PG&E Office Utility 10/14-11/12/2024 utilities for 633 3rd Street -1,151.81 Bill Pmt -Check 12/06/2024 19010 Recology Humboldt County Act 061371327, 917 3rd St. Nov 2024 -74.54 Bill Pmt -Check 12/06/2024 19011 Recology Humboldt County Act 060703330, 633 3rd St. Nov 2024 -110.05 Bill Pmt -Check 12/06/2024 19012 Rennie, J Mileage reimbursement - Nov 2024 -104.79 Bill Pmt -Check 12/06/2024 19013 Rodriguez, Louis Purchase reimbursement - Dec 2024 -37.13 Bill Pmt -Check 12/06/2024 19014 Times Printing Company Nov 2024 printing and postage -653.58 Bill Pmt -Check 12/06/2024 19015 Tuck Inc. / Plaza Grill Venue Rental- The Basement 12/19/24 -250.00 Bill Pmt -Check 12/06/2024 19016 Whitchurch Engineering, Inc EVCS DMV Project-Oct 2024 Services -2,990.00 Paycheck 12/06/2024 ACH Employees Payroll plus Annual Longevity Payments -99,697.16

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11 Accrual Basis Redwood Coast Energy Authority
Disbursements Report
As of December 31, 2024
Type Date Num Name Memo Amount
Bill Pmt -Check 12/09/2024 ACH The Energy Authority CAISO Weekly Charges -9,858.94 Bill Pmt -Check 12/16/2024 ACH The Energy Authority TEA Invoice #TEA 112024 Nov 2024 -2,972,735.22 Bill Pmt -Check 12/16/2024 ACH The Energy Authority CAISO Weekly -132,837.41 Check 12/17/2024 ACH VISA VISA 2291: Nov 2024 Stmt 10/22-11/20/2024 -11,436.98 Check 12/17/2024 ACH VISA VISA 4133: Nov 2024 Stmt 10/22-11/20/2024 -861.54 Check 12/20/2024 Debit Umpqua Service Charge -196.51
Liability Check 12/20/2024 ACH Ascensus Paydate 12/20/24 -10,214.59 Liability Check 12/20/2024 ACH Ascensus Paydate 12/20/24 -13,651.49 Liability Check 12/20/2024 ACH CICCS Coalition for Controlling Insurance Dec 2024 Coverage -64.94 Liability Check 12/20/2024 ACH EDD Paydate 12/20/24 -8,141.91 Liability Check 12/20/2024 ACH Internal Revenue Service Paydate 12/20/24 -35,643.01 Liability Check 12/20/2024 ACH Keenan Jan 2025 Coverage -36,925.11 Bill Pmt -Check 12/20/2024 ACH CalPine Corporation Nov 2024 Service Costs -63,730.76 Bill Pmt -Check 12/20/2024 ACH Humboldt Sawmill Co. Nov 2024 Electricity Generation -463,077.77 Bill Pmt -Check 12/20/2024 ACH Leapfrog Power, Inc Nov 2024 RA Invoice -36,740.00 Bill Pmt -Check 12/20/2024 ACH Snow Mountain Hydro, LLC Nov 2024 Electricity Generation -47,676.38 Bill Pmt -Check 12/20/2024 ACH CalCCA 2024-2025 PG&E ERRA Special Assessment -2,555.18 Bill Pmt -Check 12/20/2024 WIRE PG&E Voluntary Allocation June 2024 Forecast Price- VA -129,739.41 Bill Pmt -Check 12/20/2024 WIRE USDA Loan Payment Q4-2024 -97,478.74 Liability Check 12/20/2024 19017 Ameritas - Dental Jan 2025 Coverage -2,268.92 Liability Check 12/20/2024 19018 Ameritas - Vision Jan 2025 Coverage -395.92 Check 12/20/2024 19020 NEM Customer 2024 NEM Payout-Transitional -277.44 Check 12/20/2024 19021 NEM Customer 2024 NEM Payout-Transitional -398.70 Check 12/20/2024 19022 NEM Customer 2024 NEM Payout-Transitional -547.09 Check 12/20/2024 19023 NEM Customer NEM Account Closeout -441.96 Check 12/20/2024 19024 NEM Customer NEM Account Closeout -84.71 Check 12/20/2024 19025 NEM Customer NEM Account Closeout -471.48 Check 12/20/2024 19026 NEM Customer NEM Account Closeout -182.77 Check 12/20/2024 19027 NEM Customer NEM Account Closeout -1,251.23 Check 12/20/2024 19028 NEM Customer NEM Account Closeout -276.65 Check 12/20/2024 19029 NEM Customer NEM Account Closeout -213.32 Check 12/20/2024 19030 NEM Customer NEM Account Closeout -62.60 Check 12/20/2024 19031 NEM Customer NEM Account Closeout -786.26 Check 12/20/2024 19032 NEM Customer NEM Account Closeout -930.74 Check 12/20/2024 19033 NEM Customer NEM Account Closeout -142.45 Check 12/20/2024 19034 NEM Customer NEM Account Closeout -216.73 Check 12/20/2024 19035 NEM Customer NEM Account Closeout -396.83 Check 12/20/2024 19036 NEM Customer 2024 NEM Special Payout -48,743.51 Check 12/20/2024 19037 CCE Customer CCE Equipment Rebate -Res #241007-2264 -400.00 Check 12/20/2024 19038 CCE Customer CCE Equipment Rebate -Res #241020-2279 -500.00 Check 12/20/2024 19039 CCE Customer CCE Equipment Rebate -Res #241206-2345 -100.00 Check 12/20/2024 19040 CCE Customer CCE Equipment Rebate -Res #241204-2343 -150.00 Check 12/20/2024 19041 CCE Customer CCE Equipment Rebate -Res #241112-2309 -250.00 Check 12/20/2024 19042 CCE Customer CCE Equipment Rebate -Res #241207-2346 -400.00 Check 12/20/2024 19043 CCE Customer CCE Equipment Rebate -Res #241017-2276 -450.00 Check 12/20/2024 19044 CCE Customer CCE Heat Pump Rebate -Res #241209-2347 -700.00 Check 12/20/2024 19045 CCE Customer CCE Heat Pump Rebate -Res #241114-2310 -712.50 Check 12/20/2024 19046 CCE Customer CCE Heat Pump Rebate -Res #241118-2318 -900.00

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12 Accrual Basis Redwood Coast Energy Authority
Disbursements Report
As of December 31, 2024
Type Date Num Name Memo Amount
Check 12/20/2024 19047 CCE Customer CCE Heat Pump Rebate -Res #241022-2283 -900.00 Check 12/20/2024 19048 CCE Customer CCE Heat Pump Rebate -Res #241203-2341 -1,000.00 Check 12/20/2024 19049 CCE Customer CCE Heat Pump Rebate -Res #241031-2290 -1,050.00 Check 12/20/2024 19050 CCE Customer CCE Equipment Rebate -Res #241120-2328 -100.00 Bill Pmt -Check 12/20/2024 19051 Advanced Display & Signs Outdoor Logo sign for 633 office building -188.69 Bill Pmt -Check 12/20/2024 19052 Amazon.com Monthly billing - Nov 2024 -620.02 Bill Pmt -Check 12/20/2024 19053 AT&T RCAM charges: 11/29-12/28/24 -930.80 Bill Pmt -Check 12/20/2024 19054 AT&T Long Distance Phone charges 11/25 - 12/24/2024 -117.57 Bill Pmt -Check 12/20/2024 19055 Blue Lake Chamber of Commerce 2025 Annual Membership -70.00 Bill Pmt -Check 12/20/2024 19056 Brant Electric Dolbeer St EV Station Testing -125.00 Bill Pmt -Check 12/20/2024 19057 Carter Properties 917 3rd Street Office Lease - Jan 2025 rent -2,375.00 Bill Pmt -Check 12/20/2024 19058 City of Eureka-Other Bay Cities Leadership: Avcollie & Gwynn -2,000.00 Bill Pmt -Check 12/20/2024 19059 City of Eureka-Water 917 and 633 3rd St: water service -351.05 Bill Pmt -Check 12/20/2024 19060 Computershare Annual Escrow Fee, 12/18/24-12/17/25 -6,000.00 Bill Pmt -Check 12/20/2024 19061 Ferndale Chamber of Commerce 2025 Annual Membership -100.00 Bill Pmt -Check 12/20/2024 19062 Greater Eureka Chamebr of Commerce 2025 Annual Membership -258.00 Bill Pmt -Check 12/20/2024 19063 Greater Trinidad Chamber of Commerce 2025 Annual Membership -75.00 Bill Pmt -Check 12/20/2024 19064 HireRight Background screening -226.10 Bill Pmt -Check 12/20/2024 19065 HSU - Sponsored Programs Foundation SP42856 & SP42857 On Call Services -8,774.25 Bill Pmt -Check 12/20/2024 19066 Humboldt Bay Coffee Co. Office Coffee-633 3rd St -51.90 Bill Pmt -Check 12/20/2024 19067 Law Offices of Nancy Diamond Nov 2024 Legal Services -10,616.00 Bill Pmt -Check 12/20/2024 19068 Local Worm Guy Nov 2024 Compost service 633 & 917 3rd St -96.00 Bill Pmt -Check 12/20/2024 19069 North Coast Cleaning Services, Inc. Nov 2024 Cleaning Services -1,090.00 Bill Pmt -Check 12/20/2024 19070 NYLEX.net, Inc. Onsite network support services - Jan 2025 -3,690.00 Bill Pmt -Check 12/20/2024 19071 Optimum Business-633 633 3rd St: Phone & Internet - 11/28-12/27/2024 -1,103.54 Bill Pmt -Check 12/20/2024 19072 PG&E - ACV ACV site utilities 10/25-11/22/2024 -167.10 Bill Pmt -Check 12/20/2024 19073 PG&E CCA Nov 2024 Billing Services -21,621.18 Bill Pmt -Check 12/20/2024 19074 PG&E EV Account EV stations 11/01-11/30/2024 -1,968.20 Bill Pmt -Check 12/20/2024 19075 PG&E Office Utility 11/04-12/04/2024 utilities for 917 3rd Street -580.89 Bill Pmt -Check 12/20/2024 19076 Pierson Building Center 917 3rd St: Facility supplies-Ant Bait -15.27 Bill Pmt -Check 12/20/2024 19077 Regli, S Empl Reimb for event snacks -11.98 Bill Pmt -Check 12/20/2024 19078 Revolution Bicycles Nov 2024: 1 E-Bike Voucher -500.00 Bill Pmt -Check 12/20/2024 19079 Rio Dell-Scotia Chamber of Commerce 2025 Annual Membership -250.00 Bill Pmt -Check 12/20/2024 19080 Shred Aware Shredding services - Dec 2024 -68.95 Bill Pmt -Check 12/20/2024 19081 Southern Humboldt Chamber 2025 Annual Membership -325.00 Bill Pmt -Check 12/20/2024 19082 Times Printing Company Dec 2024: Move-in mailers -1,300.47 Bill Pmt -Check 12/20/2024 19083 Ubeo Business Services 633 3rd St Printer Charges: 11/06-12/05/24 -221.52 Bill Pmt -Check 12/20/2024 19084 Whitchurch Engineering, Inc EVCS DMV Project-Nov 2024 Services -3,010.00 Bill Pmt -Check 12/20/2024 19085 Winzler, John Office Lease - 633 3rd St. Jan 2025 -7,946.31 Bill Pmt -Check 12/20/2024 19086 Yakovleva, Vera A. CALCCA Meeting.: Transp. Reimb 12/04/24 -36.37 Paycheck 12/20/2024 ACH Employees Payroll -88,326.22
Liability Check 12/23/2024 ACH Principal Life Insurance Company Jan 2025 Premiums -131.24 Bill Pmt -Check 12/23/2024 ACH The Energy Authority CAISO weekly charges -50,780.85 Bill Pmt -Check 12/23/2024 19087 AT&T RCAM charges: 12/07-01/06/24 -330.21 Liability Check 12/24/2024 ACH Colonial Life Jan 2025 Premiums -2,179.06 Bill Pmt -Check 12/31/2024 ACH The Energy Authority CAISO Invoice #CISO122624-DEC -46,707.30 TOTAL -8,050,375.24

Page 3 of 3 ends

13 This page
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left blank.
14 Redwood Coast Energy Authority
Profit & Loss Budget vs. Actual
July through December 2024
Jul - Dec 24 Budget % of Budget
Ordinary Income/Expense
Income
4 GRANTS AND DONATIONS
Total 4000 · Revenue - direct donations 600.00 0.00 100.0% Total 4 GRANTS AND DONATIONS 600.00 0.00 100.0%
5 REVENUE EARNED
Total 5000 · Revenue - government agencies 2,516,644.36 1,375,000.00 183.03% Total 5100 · Revenue - program related 5,553,348.90 50,000.00 11,106.7% Total 5300 · Revenue - interest on deposits 808.56 0.00 100.0% Total 5400 · Revenue-nongovernment agencies 219,159.50 413,000.00 53.07% Total 5500 · Revenue - Electricity Sales 34,822,446.34 68,501,255.00 50.84% Total 5 REVENUE EARNED 43,112,407.66 70,339,255.00 61.29% Total Income 43,113,007.66 70,339,255.00 61.29%
Gross Profit 43,113,007.66 70,339,255.00 61.29%
Expense
Total 6 WHOLESALE POWER SUPPLY 30,614,169.74 61,063,849.00 50.14% Total 7 PERSONNEL EXPENSES 2,164,862.12 5,251,342.00 41.23% Total 8.1 FACILITIES AND OPERATIONS 492,188.86 978,375.00 50.31% Total 8.2 COMMUNICATIONS AND OUTREACH 92,216.73 114,900.00 80.26%

8.4 PROFESSIONAL & PROGRAM SRVS
8400 · Regulatory 69,867.81 164,300.00 42.53%
Total 8410 · Contracts - Program Related Ser 156,990.09 1,418,600.00 11.07% 8420 · Accounting 25,284.00 60,000.00 42.14%
8430 · Legal 67,744.20 185,000.00 36.62%
8450 · Wholesale Services - TEA 427,130.34 817,124.00 52.27% 8460 · Procurement Credit - TEA 71,511.34 639,430.00 11.18% 8470 · Data Management - Calpine 382,672.55 855,276.00 44.74% 8480 · Customer Billing - PG&E 129,796.38 272,714.00 47.59% Total 8.4 PROFESSIONAL & PROGRAM SRVS 1,330,996.71 4,412,444.00 30.17% Total 8.6 INCENTIVES & REBATES 110,035.28 230,000.00 47.84% Total 9 NON OPERATING COSTS 64,134.44 129,000.00 49.72% Total Expense 34,868,603.88 72,179,910.00 48.31%
Net Ordinary Income 8,244,403.78 -1,840,655.00 -447.91% Net Income 8,244,403.78 -1,840,655.00 -447.91%

Page 1 of 1 ends

15 Redwood Coast Energy Authority
Balance Sheet
As of December 31, 2024
Dec 31, 24
ASSETS
Current Assets
Checking/Savings
1010 · Petty Cash 300.00
1060 · Umpqua Checking Acct 0560 147,562.98
1071 · Umpqua Deposit Cntrol Acct 8215 11,141,624.95
1075 · Umpqua Reserve Account 2300 20,000,000.00
1077 · JP Morgan Chase Act 74999 399,967.48
Total Checking/Savings 31,689,455.41
Total Accounts Receivable 2,323,186.20
Other Current Assets
1101 · Allowance for Doubtful Accounts -9,853,597.74
1103 · Accounts Receivable-Other 18,045,021.22
1120 · Inventory Asset 18,614.90
1205 · Prepaid Insurance 55,441.42
1210 · Retentions Receivable 28,995.93
Total Other Current Assets 8,294,475.73
Total Current Assets 42,307,117.34
Total Fixed Assets 9,988,880.88
Other Assets
1700 · Security Deposits 4,202,212.42
Total Other Assets 4,202,212.42
TOTAL ASSETS 56,498,210.64

LIABILITIES & EQUITY
Liabilities
Current Liabilities
Total Accounts Payable 4,029,467.72
Total Credit Cards 19,606.12
Other Current Liabilities
2002 · Deposits Refundable 1,013,130.01
2011 · NEM Escrow Liability 201,042.07
Total 2100 · Payroll Liabilities 191,823.88
2200 · Accrued Expenses 0.00
2215 · Lease Liability - Current 123,444.15
Total Other Current Liabilities 1,529,440.11
Total Current Liabilities 5,578,513.95
Total Long Term Liabilities 6,113,788.73
Total Liabilities 11,692,302.68
Equity
3900 · Fund Balance 36,060,949.06
Net Income 8,744,958.90
Total Equity 44,805,907.96
TOTAL LIABILITIES & EQUITY 56,498,210.64

Page 1 of 1 ends

STAFF REPORT
Agenda Item # 4.4
AGENDA DATE: February 27, 2025
TO: Board of Directors
PREPARED BY: Lori Taketa, Clerk of the Board
SUBJECT: Extending Finance Committee Term Appointment Dates

SUMMARY
Staff recommend adjusting the committee service terms to end on February 28, 2026, to facilitate scheduling a mid-year budget adjustment committee meeting, if necessary, next year.

BACKGROUND
The RCEA Board of Directors created the standing Finance Subcommittee on January 28, 2019, “to meet as needed to work with staff and advise the Board of Directors on matters relating to audit, finance and budget.” Subcommittee members were appointed to serve one-year terms ending on the first regular Board meeting of each year. Discussion prior to the subcommittee’s creation focused on the directors’ desire to increase organizational transparency and Board member understanding of the agency’s finances.

Directors Michael Gerace, Skip Jorgensen, Jason Ramos, Frank Wilson and Chair Scott Bauer, were appointed to serve on this standing committee at the Board’s January 23, 2025, meeting.

ALIGNMENT WITH RCEA’S STRATEGIC PLAN
Not applicable. The proposed action promotes efficient Board administrative support.

EQUITY AND FINANCIAL IMPACTS
None.

STAFF RECOMMENDATION
Extend RCEA Finance Committee term appointment dates to end on February 28, 2026, to simplify mid-year budget adjustment meeting scheduling.

ATTACHMENTS
None.
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18

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STAFF REPORT
Agenda Item # 6.1
AGENDA DATE: February 27, 2025
TO: Board of Directors
PREPARED BY:

Richard Engel, Director of Power Resources
Lori Biondini, Director of Business Planning and Finance Jaclyn Harr, TEA Account Director – California
SUBJECT: Energy Risk Management Semi-Annual Report

BACKGROUND
The RCEA Board of Directors adopted an Energy Risk Management Policy in December 2016, most recently revised in December 2024 (https://redwoodenergy.org/wp-content/uploads/sites/850/2024/12/Energy-Risk-Management-Policy.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, staff presents a periodic update on activities and projected financial performance to the Board during business meetings.

Until this year, the Board received these risk updates every quarter. In keeping with Energy Risk Management Policy revisions adopted by the Board in December 2024, staff will update the Board semi-annually, timed to inform the Board’s annual budget adoption and mid-year budget review. The Board is best positioned at these times to make needed adjustments to the budget in response to any financial trends, opportunities, or threats that may be identified through the risk update. The semi-annual update frequency is a minimum, and staff may update the Board more frequently if there are major changes to RCEA’s financial performance or the market.

SUMMARY
RCEA staff and the Energy Authority (TEA) California Account Director Jaclyn Harr will provide an energy risk management update.

ALIGNMENT WITH RCEA’S STRATEGIC PLAN
Not applicable.

EQUITY IMPACTS
Not applicable.

RECOMMENDED ACTION
Accept Energy Risk Management Semi-Annual Report.
19

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ATTACHMENTS
Energy Risk Management Semi-Annual Report slides will be presented at the meeting. 20 RCEA
Energy Risk Management
Semi-Annual Report
February 2025 Board Meeting
Changes to Timing and Content of Risk Updates
• Quarterly timing changed to semi-annual, per updated risk policy • alignment with annual budget setting and mid-year budget review • Shift to focus on fiscal year over calendar year
• Financials compared against most recent adopted/revised budget instead of previous quarter’s financial modeling
• Costs of short-term renewable & carbon free procurement will be shown as a monthly cost instead of one annual lump sum payment • Co-presented by RCEA and TEA staff
• We are interested in Board input on further changes that would be helpful
18 Financial Update
CONFIDENTIAL & PROPRIETARY 19
Overview of Financial Drivers*
CCE Revenues:
• Fiscal Year 24-25 electricity sales revenue higher than budgeted • Calendar year 2025 rate increase higher than May 2024 forecast • Calendar year 2026 and 2027 PG&E rate forecast updated • +$10.2MM in FY 25-26, -$4.5MM in FY 26-27
Net Power Costs:
• Forward energy price changes over forecast horizon:
• Calendar year 2025 costs down 22% (100% hedged)
• Calendar years 2026 and 2027 costs down 22% (average hedged: ~68%) and 7% (average hedged: ~65%), respectively
• Decreased prices for environmental products (RECs & Carbon-Free) and capacity products (RA)
20 Legend
Green = improved since FY budget was set
Red = worse since FY budget was set
*Per Financial Models from 5/7/24 and 2/11/25.

Fiscal Year Net CCE Revenue Forecast
21 FY 24-25 FY 25-26 FY 26-27
May Budget $(1,900,000) $(7,100,000) $(7,700,000)
Feb Board $17,400,000 $14,700,000 $100,000
-$10MM
-$5MM
$0MM
$5MM
$10MM
$15MM
$20MM
Calendar Year Net CCE Revenue Forecast
22 CY 2025 CY 2026 CY 2027
May Budget $(7,900,000) $(8,300,000) $(8,800,000)
Feb Board $35,500,000 $(8,300,000) $7,500,000
-$15MM
-$10MM
-$5MM
$0MM
$5MM
$10MM
$15MM
$20MM
$25MM
$30MM
$35MM
$40MM
23 Two-Year Cash Projection based on CCE Net Revenues
Feb - Dec 2025 CY 2026 Jan - Dec 2027
Min Avg Ending Min Avg Ending Min Avg Ending
May Budget $27.9M $30.1M $29.0M $18.9M $22.8M $19.6M $12.4M $15.9M $13.1M Feb Board $30.2M $47.1M $65.5M $62.6M $65.4M $64.0M $57.2M $64.2M $69.4M $0MM
$5MM
$10MM
$15MM
$20MM
$25MM
$30MM
$35MM
$40MM
$45MM
$50MM
$55MM
$60MM
$65MM
$70MM
$75MM
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
Jan-27
Feb-27
Mar-27
Apr-27
May-27
Jun-27
Jul-27
Aug-27
Sep-27
Oct-27
Nov-27
Dec-27
May Budget Feb Board
Forecasted PG&E Generation Rate & PCIA
24 $(50)
$-
$50
$100
$150
$200
$250
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
Jan-27
Feb-27
Mar-27
Apr-27
May-27
Jun-27
Jul-27
Aug-27
Sep-27
Oct-27
Nov-27
Dec-27
$/MWh
May Gen Rate Feb Gen Rate May PCIA Feb PCIA
Forward Energy Prices for RCEA
25 $-
$20
$40
$60
$80
$100
$120
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
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Jun-26
Jul-26
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Jan-27
Feb-27
Mar-27
Apr-27
May-27
Jun-27
Jul-27
Aug-27
Sep-27
Oct-27
Nov-27
Dec-27
$/MWh
May Board Forward On-Peak Feb Board Forward On-Peak May Board Forward Off-Peak Feb Board Forward Off-Peak Uncollected Revenues Update
26 27
Uncollected Revenues: Active Debt Status
28 Uncollected Revenues: Debt Assigned to
Collection Agency

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REVISED STAFF REPORT
Agenda Item # 9.1
AGENDA DATE: February 27, 2025
TO: Board of Directors
PREPARED BY:

Lori Biondini, Business Development & Finance Director
Eileen Verbeck, Deputy Executive Director
Elizabeth Burks, Executive Director
SUBJECT: Fiscal Year 2024-25 Mid-Year Budget Adjustment

BACKGROUND
When the Fiscal Year 2024-25 budget was adopted, the estimated expenses exceeded the revenue. Staff recommended and the Board adopted the following budget measures in an attempt to balance the budget:
• Procurement of renewable energy set to State-mandated goals for the remainder of calendar year 2024 and 2025. RCEA’s adopted goal was 100% renewable and carbon free energy in 2025 (estimated savings of $4M).
• Froze vacant positions (estimated savings $467,235).
• Postponed architectural design of new building (estimated savings $1.2M). • Decreased customer rebate and incentive budget (estimated savings $170,000). • Reduced communication and outreach budget (estimated savings $45,585). • Postponed third-party compensation and classification review ($50,000 - $75,000).

Estimated net revenue with these adopted measures was -$1.8 million.

SUMMARY
Reviewing and updating the budget mid-year keeps the Board apprised of the dynamic nature of electricity rates and power costs and allows staff to better manage net income. Based on actual revenue and expenses to date and the CPUC approval of the Northern Rural Energy Network (NREN) a budget adjustment is needed to accurately reflect the Fiscal Year 2024-25 budget.

The approval of NREN is anticipated to add approximately $7.1 million in additional revenue and expenses and will offset $931,982 of adopted budget expenditures.

Forecasted electricity sales and wholesale power costs included in the proposed mid-year budget adjustment are based on modeling provided by The Energy Authority dated January 31, 2025. The model includes the implemented generation rates as of January 2025 and includes a

0.5% discount from Pacific Gas & Electric Company (PG&E) retail generation rates. Based on this information, RCEA is estimating that wholesale power supply revenue will be $12.3 million more than expected in the adopted budget, and the power supply expenses are estimated $3.7 million more than expected. Additionally, RCEA has received $5.8 million in delay damages due to the delayed commercial operation date of the Sandrini Solar project. The mid-year budget adjustment also includes the sale of excess hydro power equivalent to the amount of the nuclear allocation that was accepted ($300,000).

This staff report was revised on 2/24/25 to
include inadvertently omitted information.
21

Page 2 of 3 ends

On February 6, 2025, Staff presented a draft mid-year budget adjustment to the Finance Subcommittee. The Finance Subcommittee recommended the following adjustment be presented to the full Board for approval.

Adopted FY 24-
25 Budget
Proposed FY
24-25 Mid-year
adjustment
Description
Revenue
Electricity Sales $70.6M $82.9M Based on actual rates,
PCIA and load.

Grants and Contracts $1.8M $9M Includes $7.1M for NREN
Program Related Service
Fees
$50,000 $5.9M Includes $5.8M for delay
damages
Expense
Wholesale Power Supply $61M $64.7M Based on actual rates, PCIA and load.

Personnel $5.2M $5.4M Unfreezes vacant
positions, funds
class/comp study,
reinstates training and
travel budget, and travel
funded by NREN1.

Facilities and Operations $978,375 $1.1M Increased cost associated with implementing NREN.

Communication and
Outreach
$114,900 $276,200 Reinstates budget
previously cut and
additional expenses
associated with NREN.

Professional and
Program Services
$4.4M $8.9M Increased cost for NREN,
accounting services for
additional audits, and cost
of service rate study.

Incentives and Rebates $230,000 $965,605 Budgeted $756,105 in customer programs funded
by NREN. Also includes
additional $50,000 for
RCEA electric vehicle
rebate program.

Net Revenue -$1.8M $13.8M
Procurement of Renewable Energy
Based on direction from the Board and a positive financial outlook, Staff revisited the current energy procurement strategy. The Board of Directors adopted a resolution pausing RCEA’s goal of 100% renewable and carbon free energy in 2025 to balance the budget. The Board set the 1 Expenses associated with the administration and implementation of Northern Rural Energy Network (NREN) are funded through payments made to RCEA from PG&E. The intent of NREN is to encourage energy efficiency measures in rural communities. The use of NREN funds is regulated by the CPUC and can include expenses such as personnel, database development, marketing and outreach expense, customer rebates and pass-through program funding to NREN partners (Lake Area Planning Council, Mendocino Council of Governments, and Sierra Business Council).
22

Page 3 of 3 ends

goal to the State’s mandated standard of 47% for calendar year 2025. As of the writing of this staff report, RCEA has procured more than the state standard and is currently estimated to have a portfolio of 75% renewable and carbon free energy.

The Finance Subcommittee was presented the following three options:

1. Stay with the Board adopted procurement strategy of meeting State renewable portfolio standard (RPS) of 47%. This could result in selling excess energy already procured for an additional $4M in revenue.

2. Stay with the Board adopted procurement strategy and keep current RPS eligible procured energy in portfolio. This could result in 75% renewable and carbon free. This option would be cost neutral. This is the Staff and Finance Committee recommendation.

3. Reinstate RCEA’s procurement goal of 100% renewable and carbon free. This could result in additional $1.6M in expenses.

Option 1 could result in additional revenue, but it is reliant on estimated loads for the remainder of 2025. If RCEA’s load increases, there is a risk that RCEA may not meet the state standard and be out of compliance. To implement Option 3, RCEA would likely procure already existing large hydro which is costly and does not add to the overall increase in renewable and carbon free generation in the State.

Staff, The Energy Authority and the Finance Subcommittee recommend option 2 which is cost neutral. The proposed mid-year budget adjustment is based on Option 2.

Net Revenue Summary
The adopted budget anticipated a reduction of the reserve fund of $1.8M. The proposed mid-year adjustment estimates a net revenue of $13.8M. The Board of Directors adopted a reserve policy at the January 2025 meeting that states RCEA shall have a maximum reserve of 180 days cash on hand. Based on the proposed budget adjustment this would be $36.2M. As of February 20, 2025, RCEA’s cash balance is $31.9 million. RCEA is expected to reach the reserve goal later this year. Per the reserve policy once the reserve goal is reached and maintained for twelve (12) months, the Board can make decisions on utilizing funds in excess of the goal. In anticipation of reaching this goal, staff will research cost of service rate setting and a dividend proposal to bring back to the Board at a later date.

FINANCIAL IMPACT
Staff continues to recommend conservative budgeting and a focus on increasing cash reserves to help RCEA and its customers weather future market instability, increase RCEA’s credit worthiness, and decrease operations costs.

RECOMMENDED ACTIONS
Approve proposed changes to the RCEA Fiscal Year 2024-25 Budget.

ATTACHMENT
• RCEA Budget FY24-25 DRAFT Mid-year Adjustments
23 This page
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24 Redwood Coast Energy Authority Fiscal Year 2024-2025 Mid-Year Budget

POWER RESOURCES
Community Choice
Energy
Revenue
State Contracts -
REVNet Sales & LCFS Credits -
Program Service Fees 5,880,888
Non-government Contracts -
Electricity Sales 82,930,603
Uncollectable Accounts (2,487,918)
Total 86,323,573
Expense

WHOLESALE POWER SUPPLY
Sub-total 64,768,112

PERSONNEL EXPENSES
Safety -
Staff Training, Development & Non-Local Travel 32,710
Local Mileage 200
Recruitment & Screening -
Full-time Salaries 1,133,596
Part-time Salaries, Taxes & WC 81,150
Sub-total 1,247,656

FACILITIES AND OPERATIONS
Office Supplies -
Furniture & Equipment 5,000
IT Hardware & Supplies -
Software -
IT Subcontractors -
Office Lease and Meeting Space Rental -
Office Utilities & Mobile Phones/Hotspots -
Office Maintenance Supplies -
Office Maintenance Services -
REVNet Operations & Maintenance -
RCAM Operations & Maintenance -
Property & Liability Insurance -
Dues & Memberships 200,000
Administrative Service Fees -
Sub-total 205,000

COMMUNICATIONS AND OUTREACH
Sub-total 93,500

PROFESSIONAL & PROGRAM SRVS
Regulatory 124,300
Contracts - Program Related Services 251,669
Accounting 100,000
Legal 45,000
Wholesale Services - TEA 875,603
Procurement Credit - TEA 150,000
Data Management - Calpine 855,276
Customer Billing - PG&E 272,714
Sub-total 2,674,562

INCENTIVES & REBATES
Equipment -
Heat Pumps -
Residential Home Kits & Lending Library -

EV & EVSE -
E-Bike -
Sub-total -

NON OPERATING COSTS
Sub-total 6,000
Total Expense 68,994,830
Net Income 17,328,743

Page 1 of 4 ends

25 Redwood Coast Energy Authority Fiscal Year 2024-2025 Mid-Year Budget Revenue
State Contracts
REVNet Sales & LCFS Credits
Program Service Fees
Non-government Contracts
Electricity Sales
Uncollectable Accounts
Total
Expense

WHOLESALE POWER SUPPLY
Sub-total

PERSONNEL EXPENSES
Safety
Staff Training, Development & Non-Local Travel
Local Mileage
Recruitment & Screening
Full-time Salaries
Part-time Salaries, Taxes & WC
Sub-total

FACILITIES AND OPERATIONS
Office Supplies
Furniture & Equipment
IT Hardware & Supplies
Software
IT Subcontractors
Office Lease and Meeting Space Rental
Office Utilities & Mobile Phones/Hotspots
Office Maintenance Supplies
Office Maintenance Services
REVNet Operations & Maintenance
RCAM Operations & Maintenance
Property & Liability Insurance
Dues & Memberships
Administrative Service Fees
Sub-total

COMMUNICATIONS AND OUTREACH
Sub-total

PROFESSIONAL & PROGRAM SRVS
Regulatory
Contracts - Program Related Services
Accounting
Legal
Wholesale Services - TEA
Procurement Credit - TEA
Data Management - Calpine
Customer Billing - PG&E
Sub-total

INCENTIVES & REBATES
Equipment
Heat Pumps
Residential Home Kits & Lending Library

EV & EVSE
E-Bike
Sub-total

NON OPERATING COSTS
Sub-total
Total Expense
Net Income
REVNet
Transportation
Grants - NCRCN
Infrastructure
Grants -

RRPG, CEG
Redwood
Coast
Airport
Microgrid
CCE
Customer I&T
Programs and
Services
375,000 - 1,000,000 - -
70,000 - - - -
- - - - -
- - 11,000 - -
- - - - -
- - - - -
70,000 375,000 1,011,000 - -
- - - 500 -
- - - - -
100 200 1,000 600 -
- - - - -
80,000 200,000 29,443 417,999
44,241
100 80,200 201,000 30,543 462,240
- - - - -
- - - - -
- - - - -
- - - - -
- - - - -
- - - - -
- - - - -
- - - - -
- - - - -
69,900 - - -
- - - 75,000 -
- - - - -
- - - - -
- - - - -
69,900 - - 75,000 -
- - - - 10,200
- - - - -
- 400,000 800,000 50,000 -
- - - - -
- - - - -
- - - - -
- - - - -
- - - - -
- - - - -
- 400,000 800,000 50,000 -
- - - - -
- - - - -
- - - - -
- - - - 80,000
- - - - 30,000
- - - - 110,000
- - - 120,000 -
70,000 480,200 1,001,000 275,543 582,440
- (105,200) 10,000 (275,543) (582,440)
INFRASTRUCTURE and TRANSPORTATION (I&T)

Page 2 of 4 ends

26 Redwood Coast Energy Authority Fiscal Year 2024-2025 Mid-Year Budget Revenue
State Contracts
REVNet Sales & LCFS Credits
Program Service Fees
Non-government Contracts
Electricity Sales
Uncollectable Accounts
Total
Expense

WHOLESALE POWER SUPPLY
Sub-total

PERSONNEL EXPENSES
Safety
Staff Training, Development & Non-Local Travel
Local Mileage
Recruitment & Screening
Full-time Salaries
Part-time Salaries, Taxes & WC
Sub-total

COMMUNICATIONS AND OUTREACH
Sub-total

INCENTIVES & REBATES
Equipment
Heat Pumps
Residential Home Kits & Lending Library

EV & EVSE
E-Bike
Sub-total

NON OPERATING COSTS
Sub-total
Total Expense
Net Income
RuralREN -
Admin
Rural REN -
Implementation
PG&E Local
Government
Partnership
Program
CCE Customer DSM
Programs and
Services
5,378,947 1,748,887 - -
- - - -
- - - -
- - 400,000 10,000
- - - -
- - - -
5,378,947 1,748,887 400,000 10,000
- - - -
- 17,500 - -
2,100 - 1,100
- - - -
415,547 450,935 280,000 396,247
71,727
417,647 468,435 281,100 467,974
9,454 9,177 - 500
- 6,000 -
2,600 2,600 - -
- 3,000 - 38,000
- - - 8,000
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
- - - -
160,000 - - -
- - - -
180,777 12,054 - 46,500
60,000 12,500 - -
20,000 - - -
837,775 3,636,190 - -
- - - -
55,000 - - 50,000
- - - -
- - - -
- - - -
- - - -
912,775 3,636,190 - 50,000
- 756,105 - 17,500
- - 75,000
- - 7,000
- - -
- - - -
- 756,105 - 99,500
- - - -
1,621,987 4,834,496 281,100 663,974
126,900 544,451 118,900 (653,974)

DEMAND-SIDE MANAGEMENT (DSM)

Page 3 of 4 ends

27 Redwood Coast Energy Authority Fiscal Year 2024-2025 Mid-Year Budget Revenue
State Contracts
REVNet Sales & LCFS Credits
Program Service Fees
Non-government Contracts
Electricity Sales
Uncollectable Accounts
Total
Expense

WHOLESALE POWER SUPPLY
Sub-total

PERSONNEL EXPENSES
Safety
Staff Training, Development & Non-Local Travel
Local Mileage
Recruitment & Screening
Full-time Salaries
Part-time Salaries, Taxes & WC
Sub-total

COMMUNICATIONS AND OUTREACH
Sub-total

INCENTIVES & REBATES
Equipment
Heat Pumps
Residential Home Kits & Lending Library

EV & EVSE
E-Bike
Sub-total

NON OPERATING COSTS
Sub-total
Total Expense
Net Income
- - 8,502,834 1,375,000
- - 70,000 50,000
- - 5,880,888 -
80,000 - 501,000 413,000
- - 82,930,603 70,619,850
- - (2,487,918) (2,118,595)
- 80,000 70,339,255 95,397,407
61,063,849 64,768,112
- 4,500 5,000 5,000
6,800 32,500 64,300 89,510
100 500 5,000 5,900
- 124,000 24,000 124,000
163,592 1,308,101 4,794,460 4,875,460
32,459 59,005 358,582 288,582
202,951 1,528,606 5,251,342 5,388,452
- 10,750 10,500 29,881
- 13,000 13,000 24,000
- 50,500 55,700
- 33,209 74,209
- 60,000 214,345 68,000
- 128,000 128,000 128,000
- 80,400 48,400 80,400
- 8,000 8,000
- 16,000 16,000 16,000
- - 105,000 69,900
- - 87,000 75,000
- 102,117 102,117 102,117
3,000 8,000 254,013 371,000
- 50,000 - 50,000
3,000 559,976 978,375 1,152,207
7,500 92,500 114,900 276,200
20,000 - 164,300 164,300
40,000 1,418,600 6,015,634
- 190,000 60,000 290,000
40,000 90,000 185,000 280,000
- - 817,124 875,603
- - 639,430 150,000
- - 855,276 855,276
- - 272,714 272,714
100,000 280,000 4,412,444 8,903,527
- - 70,000 773,605
- - 75,000 75,000
- - 25,000 7,000
- - 30,000 80,000
- - 30,000 30,000
- - 230,000 965,605
- 3,000 129,000 129,000
313,451 2,464,082 72,179,910 81,583,103
(233,451) (2,464,082) (1,840,655) 13,814,303
Proposed
Budget w/
Adjustments

GENERAL &
ADMIN

STRATEGIC

PLANNING

FISCAL YEAR
2024-2025
BUDGET

Page 4 of 4 ends

28 Fiscal Year 2024-25 Mid-year
Budget Update
Adopted FY 24-25 Budget Measures
• Procurement of renewable energy reduced to State-mandated goals for calendar year 2025. RCEA’s adopted goal was 100% renewable and carbon free (estimated savings of $4M)
• Froze Vacant Positions ($467,235)
• Postponed architectural design of new building ($1.2M) • Decreased customer rebate and incentive budget ($170,000) • Reduced Communication and Outreach budget ($45,585)
• Postponed third-party compensation and classification review ($50,000 - $75,000)
Summary
Adopted
Budget
Proposed
Update
Revenue $70.3M $95.4M
Expenses $72.1M $81.5M
Projected Net
Revenue/
Addition to
Cash Reserves
-$1.8M $13.8M
On February 6, 2025, Staff presented a draft mid-year budget adjustment to the Finance Committee. The Finance Committee recommended the following adjustments be presented to the full Board.

Northern Rural Energy Network (NREN)
• CPUC approved NREN from September 2024 – December
2027. Total allocation of $33.1M.
• FY 24-25 - Additional revenue and expense of $7.1M
• Expenses include personnel, database development,
marketing and outreach expense, customer rebates, and
pass-through program funding to NREN partners
•Offsets $931,982 of adopted budget expense
Reinstatement of 2024-25 Budget Measures
• Reinstate travel and training budget
• Unfreeze current vacant positions
• Reinstate communication and outreach budget
• Fund compensation and classification study
• Increase electric vehicle rebates by $50,000
• Fund audits and financial software
• Fund IT hardware replacements and software
• Fund Cost of Service rate analysis
Electricity Sales & Power Supply
• Updated revenue and expense based on financial modeling from January 31, 2025.
• Retail rate discount remains at 0.5% below PG&E rates. • Revenue is $12.3M more than expected
• Power supply expense $3.7M more than expected.
• Sandrini construction delay damages received $5.8M
• RCEA sold hydro in the equivalent of the nuclear allocation ($300,000)
CONFIDENTIAL & PROPRIETARY 42
In June 2024, the Board decided to temporarily reduce renewable energy targets out of financial necessity. Per Board direction staff evaluated the following three scenarios.

RCEA staff have updated these scenarios to latest modeling:

1. Stay with current procurement strategy of meeting State RPS goals - Sell length. + $2.9M in revenue, 47% Renewable & Carbon-Free, does not meet Board goals

2. Keep expected renewable volumes in portfolio and do not sell length. $0, expected 82% Renewable and Carbon Free, meets RCEA Board renewable goal

3. Reinstate Procurement Goals, and procure to 100% Renewable and Carbon Free +$2.3M in expenses, 100% Renewable & Carbon-Free, meets all goals The Committee recommends the Board adopt goals that support Scenario 2, on the basis that it re-establishes RCEA’s commitment to increased use of renewable energy, without incurring increased costs to customers.

Revisiting RCEA’s Clean Energy Goals
Scenario 2 - Forecasted 2025 Environmental Resources
43 % Renewable (bundled renewables) 62%
% Renewable (unbundled renewables) 13%
% Renewable (total) 75%
% Carbon-free 7%
% Renewable + carbon-free 82%
restore trajectory toward 100% renewable by 2030, and keeping carbon-free resources currently in portfolio Note: Due to 2024 State policy change that will calculate % renewable as % of total wholesale load instead of as % of total retail load, the % renewable is expected to be a few % smaller. Exact adjustment is still to be determined.

CONFIDENTIAL & PROPRIETARY 44
How Are PCC 3 Unbundled RECs Shown On a
Power Content Label (PCL)?
PG&E’s 2023 Power Content Label
“Eligible Renewable” on the PCL
includes only PCC0, PCC1 and PCC2
renewables, part of the portfolio
that adds up to 100%
PCC3 or Unbundled RECs are shown
as a separate category
PG&E had 32.8% + 5% = 37.8% total
renewables
CONFIDENTIAL & PROPRIETARY 45
How Are PCC 3 Unbundled RECs Shown On a
Power Content Label?
PG&E’s 2023 Power Content Label
“Eligible Renewable” includes only
PCC0, PCC1 and PCC2 renewables,
part of the portfolio that adds up to
100%
PCC3 or Unbundled RECs are shown
as a separate category
Effectively, PG&E had 32.8% + 5% =

37.8% total renewables
Similarly, the Finance
Committee’s
recommendation
would result in a 2025
RCEA Power Content
Label including :
62% Eligible
Renewables
+
13% Unbundled RECs
=
75% Total Renewables
Revenue Adjustments
Adopted FY 24-25 Budget Proposed FY 24-25 Mid-year
Adjustment
Electricity Sales $70.6M $82.9M
Grants and Contracts $1.8M $9M
Program Related
Service Fees (EV
charging use, FIT
application fees)
$50,000 $5.9M
(this includes $5.8M in
collected delay damages
from the Sandrini PPA)
Expense Adjustments
Adopted FY 24-25
Budget
Proposed FY 24-25 Mid-year Adjustment
Wholesale Power Supply $61M $64.7M
Personnel $5.2M $5.4M
Facilities and Operations $978,375 $1.1M
Communication and Outreach $114,900 $276,200
Professional and Program Services $4.4M $8.9M
Incentives and Rebates $230,000 $965,605
Non-Operating Costs $129,000 $129,000
Net Revenue Summary
• The adopted budget anticipated a reduction of the reserve fund of $1.8M
• The proposed mid-year adjustment estimates net revenue of $13.8M • Reserve Policy – 180 days cash on hand ($36.2M based on proposed budget adjustment)
• As of February 20th, the cash balance is $31.9M.

Next Steps:
• Conduct analysis on basing rates on cost of service.
• Use of Reserves – Once goal of 180 days cash on hand is reached and maintained for 12 months, the Board can make decision on utilizing funds.

Page 1 of 3 ends

STAFF REPORT
Agenda Item # 9.2
AGENDA DATE: February 27, 2025
TO: Board of Directors
PREPARED BY: Faith Carlson, Regulatory and Legislative Policy Manager SUBJECT: Federal Activity Update

SUMMARY
As of February 11, President Donald Trump has signed over 90 Executive Orders, Memoranda or Proclamations. Many of these actions have implications for the energy sector or aim to dramatically reform the federal government.

Although RCEA’s routine operations are not federally funded, these executive orders will affect our work.

Currently, the only RCEA project directly impacted by these orders is the Tribal Energy Resilience and Sovereignty project (TERAS), which has been “paused” for 90 days pending Department of Energy review for consistency with the Administration’s priorities.

Some of these executive orders already face legal challenges which may affect their implementation. RCEA staff will continue tracking Federal Policy implementation and new releases to understand their impact on daily operations.

BACKGROUND
Among the President’s powers include the ability to issue three types of directives: Executive Orders, Memoranda, and Proclamations.

Executive Orders:
• Are numbered and must be published in the Federal Register • Have the force of law (if not in violation with the Constitution or Congressional Order) • Manage the operations of the executive branch of the government • Have broader subject matter, such as creating a new agency, or instructing multiple agencies on how to implement federal law.

Memoranda:
• Are not numbered and are optionally published in the Federal Register • Generally, have the same power as an executive order
• Have more targeted subject matter, such as delegation of tasks assigned by Congress to the president to a specific office.
29

Page 2 of 3 ends

Proclamations:
• Are numbered and published in the Federal Register
• Communicate information on holidays, trade, and policy.

RCEA does not rely on federal funds or federal permits for daily operations, but there are many facets of our work that can be impacted by these orders.

List of Presidential Actions
Below is a non-exhaustive list of Presidential Actions that may be relevant to RCEA. See staff report attachment for details on each action.

Executive Actions Related to Energy and the Environment • Executive Orders:
o Unleashing American Energy
o Declaring a National Energy Emergency
o Initial Recessions of Harmful Executive Orders and Actions o Putting America First in International Environmental Agreements o Unleashing Alaska’s Extraordinary Resource Potential
o Removing Barriers to American Leadership in Artificial Intelligence o Emergency Measures to Provide Water Resources in California and Improve Disaster Response in Certain Areas
o Council to Assess the Federal Emergency Management Agency • Presidential Memoranda:
o Delivering Emergency Price Relief for American Families and Defeating the Cost-of-Living Crisis o Temporary Withdrawal of All Areas on the Outer Continental Shelf from Offshore Wind Leasing and Review on the Federal Government’s Leasing and Permitting Practices for Wind Projects
Other Relevant Executive Actions
• Executive Orders:
o Ending Radical and Wasteful Government DEI Programs and Preferencing o Reforming the Federal Hiring Process and Restoring Merit to Government Service
o Restoring Accountability to Policy-Influencing Positions Within the Federal Workforce
o Establishing and Implementing the President’s ‘Department of Government Efficiency’
o Unleashing Prosperity Through Deregulation
• Presidential Memoranda:
o Regulatory Freeze Pending Review
o America First Trade Policy
30

Page 3 of 3 ends

IMPACTS
The broad impact of the above actions is unknown.

The cost of energy and pace of renewable energy project development will likely be impacted.

Tariffs could increase imported energy prices and affect supply chains for energy infrastructure construction, resulting in slower timelines and increased costs. For other projects, prioritization and permitting streamlining could speed up timelines.

The executive orders remove Federal support for offshore wind projects. Progress towards electric vehicle adoption and conversion to energy efficient appliances could be slowed.

Both the Infrastructure Investment and Jobs Act (Bipartisan Infrastructure Law) and the Inflation Reduction Act (IRA) have competitive programs for which RCEA could apply. The current Administration’s position on these programs will mean less climate work grant solicitations. The rollback of commitments to diversity, equity, and inclusion and Justice40 initiatives create multi-level concerns including decreased competitiveness of projects from our region.

ALIGNMENT WITH RCEA’S STRATEGIC PLAN
Staff will continue to track Federal Actions and is committed to supporting the RCEA mission.

Staff will incorporate Board feedback in RCEA’s Policy Platform.

FINANCIAL IMPACT
The TERAS project $88 million in federal funding has been paused. The broad financial impacts are currently unknown.

STAFF RECOMMENDATION
Give guidance on level of engagement with Federal Government and how often staff should report back on federal developments.

ATTACHMENTS
RCEA-Relevant Presidential Actions
31 This page
intentionally
left blank.
32

Page 1 of 6 ends

RCEA-Relevant Presidential Actions
Actions Related to Energy and the Environment
Date Action Summary Notes
1/20/25 Executive Order:

Unleashing American
Energy
- Encourages energy exploration and production on Federal lands and waters, the elimination of “the electric vehicle mandate,” "safeguard(s) the American people's freedom to choose from a variety of goods and appliances,” and states policy to guarantee opportunity for public comment and scientific analysis. - Repeals multiple Biden Executive Orders (EOs) on climate change, permitting, energy, and environmental issues.
- Pauses Inflation Reduction Act (IRA) and the Infrastructure Investment and Jobs Act (IIJA) funds, including funds for electric vehicle charging stations for 90 days minimum.
- Directs Secretary of Energy to restart liquefied natural gas export project reviews. - Revokes 5/24/77 EO 11991 - protection and enhancement of environmental quality. - Propose rescinding Council on Environmental Quality’s National Environmental Policy Act regulations, directs CEQ to revise regulations. - Directs agencies to eliminate permitting process delays. - Directs all agencies to “adhere to only the relevant legislated requirements for environmental considerations.”
- Disbands the working group Social Cost of Greenhouse Gases and eliminates the social cost of carbon from the calculation for federal permitting or regulatory decisions.
- Federal agencies are directed to examine and remove barriers to domestic critical minerals mining and processing.
- Energy efficient
appliance standards
likely to be affected
by this order
- States and regional
authorities have
jurisdiction over
permitting and
planning.
- This is the EO that
paused the TERAS
program which is
funded through the
IRA.
1/20/25 Executive Order:

Declaring a National
Energy Emergency
- Declares a national energy emergency.
- The Northeast and West Coast are named as places where "dangerous State and local policies jeopardize our Nation's core national defense and security needs." - Authorizes any lawful emergency authorities to facilitate identification, leasing, siting, production, transportation, refining and generation of domestic energy sources.
- Directs agencies to submit recommendations within 30 days. - Forms a committee to review Endangered Species Act exemption requests and to explore regulatory reform.
- States and regional
authorities have
jurisdiction over
permitting and
planning.
- The Order’s main
justifications are
affordability, energy
security, and jobs.
33

Page 2 of 6 ends

- Directs assessment of the Department of Defenses’ ability to acquire and transport energy, electricity, or fuels needed to protect the homeland within 60 days. - Defines “energy” or “energy resources” as crude oil, natural gas, lease condensates, natural gas liquids, refined petroleum products, uranium, coal, biofuels, geothermal heat, the kinetic movement of flowing water, and critical minerals. - Solar and wind
excluded from
“energy” definition.
1/20/25 Executive Order:

Initial Recessions of
Harmful Executive
Orders and Actions
- Revokes 78 executive actions from Biden’s administration, including those related to diversity, equity, and inclusion (DEI), immigration, and climate. - Directs the creation of a list of additional executive actions for repeal and executive actions to replace the rescinded actions and review all national security memoranda from the previous administration for potential revision within 45 days.

Repealed EOs related to energy:
- EO 13990 of 1/20/21: Protecting Public Health and the Environment and Restoring Science to Tackle the Climate Crisis.
- EO 13992 of 1/20/21: Revocation of Certain Executive Orders Concerning Federal Regulation.
- EO 14008 of 1/27/21: Tackling the Climate Crisis at Home and Abroad. - EO 14027 of 5/7/21: Establishment of the Climate Change Support Office. - EO 14030 of 5/20/21: Climate-Related Financial Risk.
- EO 14057 of 12/8/21: Catalyzing Clean Energy Industries and Jobs Through Federal Sustainability.
- The Presidential Memo of 1/13/23: Withdrawal of Certain Areas off the United States Arctic Coast of the Outer Continental Shelf from Oil or Gas Leasing. - EO 14082 of 9/12/22: Implementation of the Energy and Infrastructure Provisions of the Inflation Reduction Act of 2022.
- EO 14096 of 4/21/23: Revitalizing Our Nation’s Commitment to Environmental Justice for All.
1/20/25 Presidential
Memorandum:

Delivering Emergency
Price Relief for
American Families
and Defeating the
Cost-of-Living Crisis
- Directs agencies to "pursue appropriate actions" to lower cost-of-living, including "eliminate counterproductive requirements that raise the cost of home appliances" and "eliminate harmful, coercive 'climate' policies that increase the cost of food and fuel."
- Agency revision of
policies is required
to comply with all
relevant statutes,
which could slow
process down.
34

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1/20/25 Executive Order:

Putting America First
in International
Environmental
Agreements
- Withdraws the U.S. from the Paris Climate Agreement. - Will take a year to implement.
1/20/25 Presidential
Memorandum:

Temporary
Withdrawal of All
Areas on the Outer
Continental Shelf
from Offshore Wind
Leasing and Review
of the Federal
Government’s
Leasing and
Permitting Practices
for Wind Projects
- Withdrawal any new or renewed wind leasing in the Offshore Continental Shelf. - Directs identification of any "legal bases" for removal of existing wind leases. - Puts a temporary halt on federal on- and off-shore wind leasing, permitting, loans, and rights of way and directs agencies to assess the environmental impacts on wildlife and the "economic costs associated with the intermittent generation of electricity and the effect of subsidies on the viability of the wind industry." - Requests assessment of the "environmental impact and cost to surrounding communities of defunct and idle windmills" and recommendations to remove the windmills.
1/20/25 Executive Order:

Unleashing Alaska's
Extraordinary
Resource Potential
- Removes regulatory barriers on developing energy in Alaska, focused largely on liquid natural gas.
1/23/25 Executive Order:

Removing Barriers to
American Leadership
in
Artificial Intelligence
- Orders development of AI action plan within 180 days. - Revokes and orders modification of government policies that “present obstacles to” …“America’s global AI dominance.”
- While this EO does
not mention energy,
AI is a driver of
increased energy
consumption.
1/24/25 Executive Order:

Emergency Measures
to Provide Water
Resources in
California and
Improve Disaster
- Mentions “harmful State or local policies” and “Overriding Disastrous California Policies”
- Within 15 days, orders report on “all authorities, including emergency authorities, available to ensure, require, maintain, or use infrastructure necessary to fight and prevent massive wildfires in Southern California.”
- Orders immediate action to maximize water deliveries. - In response to LA
wildfires.
- Could expedite
hydropower
permitting.
35

Page 4 of 6 ends

Response in
Certain Areas
- Allows Secretary of the Interior to deliver more water and produce more hydropower.
- Orders identification and review of regulatory hurdles to CA water-supply and storage projects within 30 days.
- Orders review of CA state and local policies.
- Orders review of “any lack of compliance by California with the terms of existing Federal grants, contracts, or other financial assistance to States or localities.” - Orders specific actions related to LA and Northern Carolina disaster response. 1/24/25 Executive Order:

Council to Assess the
Federal Emergency
Management Agency
- Establishes the Federal Emergency Management Agency Review Council to assess FEMA’s ability to capably and impartially address disasters within the United States. - Orders a “comparison of the FEMA responses with State, local, and private sector responses.”
- While this EO has no
explicit mention
climate, climate
change can lead to
increasing intensity
or frequency of
natural disasters.

Actions Related to Federal Funding, Trade, Hiring, Regulation, and Government Efficiency Date Action Summary Notes
1/20/25 Presidential
Memorandum:

Regulatory Freeze
Pending Review
- Pauses the issuance, publication and enforcement of new federal rules for 60 days pending review.
- Director of Office of Management and Budget (OMB) to oversee implementation, including exemptions for emergencies or urgent deadlines. 1/27/25 Office of Management
and Budget
Memorandum on
Temporary Pause of
Agency Grant, Loan,
and Other Financial
Assistance Programs
- Requires Federal agencies to identify and review all Federal financial assistance programs and supporting activities consistent with the President’s policies and requirements.
- By 2/10, agencies shall submit to OMB programs, projects, or activities subject to this pause.
- New awards, disbursement, and other actions must be paused until OMB reviews and provides guidance with response to information submitted. - Included as an
example of the roll
out of the above EO,
commonly called
“Federal Funding
Freeze.” Has been
extensively
challenged in court.
36

Page 5 of 6 ends

1/20/25 Presidential
Memorandum:

America First Trade
Policy
- Directs federal agencies to investigate trade deficit and recommend "appropriate measures, such as a global supplemental tariff or other policies, to remedy such deficits."
- Could lead to an
increase in
procurement costs
for energy
infrastructure.
1/20/25 Executive Order:

Restoring
Accountability to
Policy-Influencing
Positions Within the
Federal Workforce
- Reinstates a prior EO President Trump signed near the end of his first term, which reclassifies federal employees into a new category of political appointees, removing civil service protections so they can be fired at will. - Staff turnover and
lower staffing could
slow disbursement
of funds and other
processes, such as
environmental
review and federal
permitting.
1/20/25 Executive Order:

Reforming the Federal
Hiring Process and
Restoring Merit to
Government Service
- Directs agencies to prioritize candidates committed to government efficiency and “ideals of our American republic,” without consideration of race, sex or religion. - Implementation plan due within 120 days.
- Staff turnover and
lower staffing could
slow disbursement
of funds and other
processes, such as
environmental
review and federal
permitting.
1/20/25 Executive Order:

Establishing and
Implementing the
President’s
‘Department of
Government Efficiency'
- Renames United States Digital Service to United States DOGE Service (USDS) where DOGE is an acronym for Department of Government Efficiency. - Establishes a USDS “temporary organization” which may include Special Government Employees and outlines DOGE Team structure.
- US Digital Service
was established by
Obama’s
administration to
improve federal
websites.
- DOGE has the goal
to lower the federal
workforce and
identify efficiency
measures.
37

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1/31/25 Executive Order:

Unleashing Prosperity
Through Deregulation
- Defines regulation as formal regulation, rules, memoranda, administrative orders, guidance documents, policy statements, and interagency agreements. - Unless prohibited by law, whenever new regulation issued, at least 10 prior regulations be repealed.
- The incremental cost of all new regulation must be <0, as determined by the Director of OMB, unless exempt by law or the Director.
- Agencies to estimate cost or savings of each new regulation added or repealed. - No new regulations may be issued by an agency if it was not included in the most recent version or update of the Unified Regulatory Agenda or approved by OMB. - Replaces 2023 regulatory analysis guidance with 2003 guidance. - Could reduce
regulatory burden
on energy sector. It
is unclear how much
authority this EO has
on independent
agencies (such as
the Federal Energy
Regulatory
Commission, FERC).

Actions Related to Environmental and Social Justice
Date Action Summary Notes
1/20/25 Executive Order:

Ending Radical and
Wasteful Government
DEI Programs
and Preferencing
- Directs agencies to terminate diversity, equity, inclusion, and accessibility (DEIA) programs in the federal government.
- Within 60 days, agencies must report all DEI and “environmental justice” programs and positions.
38 Federal Activity
02/27/2025
Faith Carlson
• Recession of past administration’s Presidential Actions • New orders and memos to:
• Unleash American energy
• Declare a national energy emergency
• Lower Cost of Living
• Pause new offshore wind leases
• Develop liquid natural gas in Alaska
• Specific measures related to FEMA and CA water supply • Withdraw USA from Paris Climate Agreement
• Implement tariffs to select countries or on select materials • Establish National Energy Dominance Council
Actions Related to Energy and the Environment
Actions aim to:
• Increase new energy development and exploration
• Pause existing programs, such as electric vehicle programs, energy efficiency appliance standards, Inflation Reduction Act, and Infrastructure Investment and Jobs Acts
• Accelerate permitting
• Increase electricity capacity
Actions Related to Energy and the Environment
Actions order
• Regulatory freeze
• Funding freeze
• Exploration of a global supplemental tariff
• Recategorization of federal employees into political appointees • Renaming of United States Digital Service to Department of Government Efficiency (DOGE)
• Removal of 10 regulations for any 1 new regulation
• Termination of federal diversity, equity, inclusion, and accessibility programs Other Relevant Executive Actions
• New and existing offshore wind
• Electric vehicle and charging deployment
• Energy efficient appliances
• Infrastructure Investment and Jobs Act (Bipartisan Infrastructure Law) and the Inflation Reduction Act (IRA) • Cost of energy and pace of renewable energy project development • Tariffs:
• Could increase imported energy prices
• Could affect supply chains for energy infrastructure construction, resulting in slower timelines and increased costs
• Permitting - Prioritization and permitting streamlining could speed up timelines. • Funding
• Infrastructure Investment and Jobs Act (Bipartisan Infrastructure Law) and the Inflation Reduction Act (IRA) and other grant programs
• $88 million of TERAS funding paused
• Competitiveness of projects from our region may be reduced due to loss of DEI and Justice40 initiatives Impacts
How is staff tracking this?
• Direct tracking
• Coalition tracking and response through:
• California Community Choice Association (CalCCA)
• California Climate and Energy Collaborative (CCEC)
• The Local Government Sustainable Energy Coalition (LGSEC) • American Public Power Association (APPA)
Going Forward
Staff is seeking guidance from the Board on
how often they’d like to hear about federal
developments and if there are specific
engagement requests.

Going Forward

STAFF REPORT
Agenda Item # 10.1
AGENDA DATE: February 27, 2025
TO: Board of Directors
FROM: Beth Burks, Executive Director
SUBJECT: Executive Director’s Report

SUMMARY
Executive Director Beth Burks will provide updates on topics as needed.

RECOMMENDED ACTION
None. (Information only.)

ATTACHMENT
None.
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intentionally
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Redwood Coast Energy Authority Board of DirectorsFebruary 27, 2025

Redwood Coast Energy Authority Board of Directors
February 27, 2025