Board of Directors Meeting Minutes
Wharfinger Building, Great Room (upstairs)
1 Marina Way, Eureka, CA 95501
Thursday, September 25 2025
3:30 PM
Attendance
Present
Natalie Arroyo Scott Bauer, Chair Carlos Diaz
Michael Gerace Skip Jorgensen Heidi Moore-Guynup, Alt. Dir.
Elise Scafani Sarah Schaefer Jack Tuttle
Tom Wheeler, Alt. Dir. Frank Wilson
Absent
Jason Ramos Sheri Woo, Vice Chair
Staff and Others Present
Name Title
Lori Biondini Business Planning & Finance Director
Elizabeth Burks Executive Director
Faith Carlson Regulatory & Legislative Policy Manager
Nancy Diamond RCEA Legal Counsel
Jodi Dobson Baker Tilly US, LLP, Principal, Energy & Utilities Richard Engel Power Resources Director
Jocelyn Gwynn Senior Power Resources Manager
Lori Taketa Board Clerk
Ryan Theiler Baker Tilly US, LLP, Senior Manager, Energy & Utilities Division Eileen Verbeck Deputy Executive Director
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Open Session
Chair Bauer called a meeting of the Board of Directors of the Redwood Coast Energy Authority to order at the above location and date at 3:33 p.m. Notice of this meeting was posted on September 19, 2025.
Oral & Written Communications
Member of the public Jan Kraepelian expressed support for local wind power development with no construction activity on local Tribe sacred days. Mr. Kraepelian also supports rail development, stating that it produces lower emissions than other transportation modes. Chair Bauer closed the public comment period.
Consent Calendar
4.1. Approve Minutes of August 28, 2025, Board Meeting.
4.2. Accept Disbursements Report for July 2025, and Financial Reports for This Fiscal Year Through July 2025.
4.3. Hold Regular RCEA Board Meetings Beginning October 23, 2025, at Wharfinger Building Downstairs Bay Room, 1 Marina Way, Eureka, at 3:30 p.m.
4.4. Award Software Development and Support Services Agreement to Frontier Energy to Perform Database Development and Implementation Services for the Northern Rural Energy Network for a Not-to-Exceed Value of $855,500 and Authorize the Executive Director to Execute All Applicable Documents.
No items were removed from the Consent Calendar.
M/S: Arroyo, Schaefer: Approve Consent Calendar Items.
The motion passed with a unanimous roll call vote. Ayes: Arroyo, Bauer, Diaz, Gerace, Jorgensen, Moore-Guynup, Scafani, Schaefer, Tuttle, Wheeler, Wilson. Noes: None. Absent:
None. Abstain: None.
Old Business
6.1. Financial Audit for Fiscal Years Ending June 30, 2025 & 2024 Business Planning and Finance Director Biondini announced that, with the completion of the 2024 and 2025 fiscal years’ audits, RCEA is current on audits. Baker Tilly Principal Jodi Dobson explained the audit process, Board responsibilities, audit findings and processes put in place to address them. RCEA received a clean audit opinion, the highest level of assurance that the agency’s financial statements are free of material misstatement. There was no public comment on this item.
M/S: Schaefer, Jorgensen: Accept and Approve Redwood Coast Energy Authority Financial Statements June 30, 2025, and 2024, and Associated Independent Auditors’ Report by Baker Tilly US, LLP.
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The motion passed with a unanimous roll call vote: Arroyo, Bauer, Diaz, Gerace, Jorgensen, Moore-Guynup, Scafani, Schaefer, Tuttle, Wheeler, Wilson. Noes: None. Absent: None.
Abstain: None.
Community Choice Energy (CCE) Business
Chair Bauer confirmed that a CCE quorum was present.
New CCE Business
9.1. Long-Term Renewables Portfolio Standard Request for Offers Senior Power Resources Manager Gwynn explained how sunsetting federal tax credits sped up this solicitation for more long-term renewable energy contracts to meet RCEA’s 100% renewable portfolio by 2030 goal. Manager Gwynn described the solicitation criteria, which includes preference for, but not a requirement of, local resources.
Members of the public Andrea Armin, Sue Lee Mossman and Dr. Wendy Ring submitted comments opposing inclusion of biomass combustion among the potential energy sources for the long-term renewables portfolio standard request for offers. Chair Bauer closed the public comment period.
The Directors clarified that they would include non-CCA-voting members in their ad hoc solicitation committees. Alternate Board Directors should not be included in these working groups. The directors noted that committee members would consider this item’s public comments during discussion. Directors Gerace, Schaefer and Tuttle volunteered to serve on the ad hoc offer review committee.
M/S: Schaefer, Arroyo:
1) Authorize staff to issue the Request for Offers for Long-Term Renewables Portfolio Standard Resources.
2) Establish an ad hoc Board offer review committee and authorize it to take the following actions provided they are consistent with the request for offers: (i) approve shortlisted offers, (ii) replace offers on the shortlist as needed, and (iii) approve continued negotiations with a shortlisted respondent in the event their offer materially changes. 3) Authorize staff to engage with the shortlisted respondents, including execution of exclusivity agreements, collection of shortlist deposits, and negotiation of contract terms, prior to full Board review and approval of resulting contracts.
The motion passed with a unanimous roll call vote: Arroyo, Bauer, Diaz, Jorgensen, Scafani, Schaefer, Tuttle, Wilson. Noes: None. Absent: None. Abstain: None. Non-Voting: Gerace, Moore-Guynup, Wheeler.
End of CCE Business
Old Business
10.1. Report on Federal Government Activity
Regulatory and Legislative Policy Manager Carlson reported on federal activity at the executive, legislative and judicial levels since the start of 2025. Effects on energy- and RCEA-related issues were 9/25/25
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described. Manager Carlson focused on federal actions in the realm of offshore wind development and noted that Governor Newsom signed a budget bill that included funding for transmission planning and other means of supporting offshore wind development in California. Director Moore-Guynup, who serves on the Harbor District’s Citizen Advisory Committee for the heavy lift marine terminal, reported that Humboldt Bay project has been paused while alternate funding sources are being identified. RCEA’s approach to state and federal level advocacy was described. There were no public comments on this item and Chair Bauer closed the public comment period.
10.2. Annual Humboldt Sawmill Company Alternative Biomass Use Report (Information only) Power Resources Director Engel reported on Humboldt Sawmill Company’s (HSC) annual production of data in compliance with a Memorandum of Understanding between HSC and RCEA created in response to community biomass plant concerns. The Biomass Technical Advisory Group’s and the Community Advisory Committee’s discussions on the matter were summarized.
The Directors discussed the following:
• HSC’s plant was designed to produce steam, not electricity. Costly turbine improvement would improve electricity generation efficiency.
• If RCEA does not contract with HSC, HSC will sell biomass power and renewable energy certificates to non-local load-serving entities who may be less concerned about the plant’s greenhouse gas and particulate emissions.
• If RCEA does not contract with HSC, HSC will not shut down the biomass plant and lumber mill. • RCEA has leverage with HSC while it has an active power purchase agreement. • If RCEA will not contract with HSC beyond the next 6 years, the agency must prepare to fill the projected load and credit requirements now.
• A member inquired whether biomass plant improvements count toward carbon capture credits. • RCEA should use the leverage it has with HSC to push for smaller particulate air quality monitoring and analysis and for generation efficiency and greenhouse gas emission reduction. • HSC facility improvements will trigger a lengthy, federal Title V renewal process with no guarantee that the plant will be allowed to operate as a result. The cost of this process may not be justifiable to HSC with just 6 years left in contract with RCEA. • RCEA needs to decide whether the agency will procure energy and credits from HSC for the long term for HSC’s planning purposes.
• The Board needs to assess what is best for the community and for RCEA. Having a longer relationship with HSC, even with higher contract prices, may be better than losing local leverage.
No public comment was received for this item. Chair Bauer closed the public comment period.
New Business (continued)
11.1. Study Session on Data Center Local, State and National Impacts (Information only) Regulatory and Legislative Policy Manager Carlson reported on data center impacts nationally, statewide and locally. Each mid- to large-size data center requires as much electricity to operate as 25,000 to 50,000 homes use. Electricity is mainly needed for system cooling. Data center developers prefer round-the-clock, baseload energy sources such as coal, nuclear energy and natural gas. Current energy demand forecasts suggest that if data center load materializes, outage rates would increase dramatically, 9/25/25
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making it difficult to retire inefficient or environmentally harmful sources. California will fare better than other states with the projected load due to planned energy resource development. Current forecasts predict that other states will experience many more hours of power outages due to energy supply not meeting the increased demand. Manager Carlson described California regulatory initiatives to ensure that large customers pay up front for transmission infrastructure improvements instead of passing on improvement costs to customers regardless of whether the developers choose to build a data center in California or site their centers elsewhere. Staff asked the Board to notify them if large energy users are planning to move to their jurisdictions. RCEA is considering offering an economic development rate.
Manager Carlson described ways to reduce energy use while online, such as setting default search engines to ones that allow users to toggle AI searches on and off.
The directors discussed potential state regulation to curtail data center power use and the potential for data center energy demands to make electricity prices exorbitant for RCEA. Director Moore-Guynup invited the directors to an upcoming meeting with a California Public Utilities Commissioner at the Blue Lake Rancheria. There were no public comments for this agenda item. Chair Bauer closed the public comment period.
Staff Reports
12.1. Executive Director’s Report
Executive Director Burks reported that Cal Poly Humboldt students will be studying local virtual power plant viability with guidance form RCEA’s Power Resources Director Engel, and that the RCEA-funded loan to the CADEMO offshore wind project in California state waters has not yet been released, pending PG&E comments on the loan’s terms. The month’s RCEA community outreach activities were listed.
Future Agenda Items
Executive Director Burks summarized future Board discussion item requests for possible non-power purchase agreement-based relationships with Humboldt Sawmill Company that could help realize carbon emission and harmful particulate emission reductions, and a discussion to explore ways to gather more air quality data in ways that do not infringe upon the Air Quality Management District’s scope of work.
Adjournment
Chair Bauer adjourned the meeting at 5:55 p.m.
Lori Taketa
Board Clerk