2 Board of Directors
Regular Meeting
March 26, 2026
3 Welcome and Call to Order
4 Roll Call
5 CLOSED SESSION
CONFERENCE WITH LEGAL COUNSEL- ANTICIPATED
LITIGATION
Government Code section 54956.9(d)(4): One matter.
6 Public Comment on Closed Session
7 CLOSED SESSION IN PROGRESS
OPEN SESSION WILL RESUME SOON
8 Open Session
9 Roll Call
10 Report from Closed Session
1111
12 Land Acknowledgement
13 Special Presentations and Introductions
14 Michelle Phillips
Senior Financial Analyst
Welcome New Staff
Brandon Lewis
Communications Associate
15 Items to be Withdrawn or
Reordered on the Agenda
16 Public Comment on non-Agenda Items
17 Consent
Calendar
1. Approve February 26, 2026, Meeting Minutes
2. Receive and File Update on Programs
3. Receive and File Update on Power Services
4. Receive and File Update on Customer Operations
5. Receive and File Update on IT and Data Analytics
6. Receive and File Update on Human Resources
7. Receive and File Update on Marketing, Public Relations, and Local Government Affairs
8. Receive and File Treasurer’s Report for Six-Month Period Ending December 31, 2025
9. Receive and File Community Advisory Committee Monthly Update
10. Receive and File Update on Regulatory and Legislative Affairs
11. Adoption of Resolution 2026-06, Authorizing San Diego Community Power to Join the California Community Choice Financing Authority as a Founding Member
18 Public Comment on Consent Calendar
19 Regular
Agenda
12. Community Advisory Committee Quarterly Update
13. Review and approve 2026 Community Power rates adjustment, to be effective as of April 1, 2026 – ITEM PULLED AT THE
REQUEST OF STAFF
14. Adoption of Resolution 2026-07, Approving the Rate
Stabilization Reserve Policy
15. Approve Agreement with Calpine Community Energy, LLC for Data Management and Customer Center Services for an
Estimated $12,701,612 per Fiscal Year, Plus a Maximum CPI Annual Increase of 4.0% for an Initial 3-year Term with Renewals
16. Approve Amendment No. 2 to Professional Services
Agreement with Wipro Connected Services (formerly known as Harman Connected Services, Inc.) for Enterprise Data Platform (EDP) Phase 2 Implementation and Managed Services for an additional not-to-exceed amount of $530,000
17. Community Benefits Framework
18. Announcement of Public Investment Grade Credit Rating from S&P Global Ratings
20 Item No. 12
Community Advisory
Committee Quarterly
Update
Presenter:
David Harris, Chair, Community Advisory Committee
Recommendation: Receive and file
Community Power’s revisions to the existing
Net Energy Metering Tariff/Program (NEM)
and to the existing Net Billing Tariff (NBT) and
Community Power’s establishment of the new
Net Billing Tariff Virtual (NBT-V) and a Net
Billing Tariff Aggregation (NBT-A) for all new
customers who elect this and who have
installed onsite generation on or after
February 15, 2024 that qualifies for the tariff
and for existing customers transitioning out of
the Virtual Net Energy Metering Tariff (VNEM)
or the Net Energy Metering Aggregation Tariff
(NEMA) following the conclusion and/or
termination of their NEMA legacy period.
Recommendation:
Receive and File Community Advisory
Committee Quarterly Update.
21 Community Advisory Committee Quarterly Report
• 2026 Projected Rates
• Fiscal Year End 2024-25 Performance Review
• Fourth Revision to the Financial Reserves Policy
• California Community Choice Association
• Regulatory and Legislative Affairs Quarterly Update
• Community Clean Energy Grants
• 2026 Rate Adjustments
• San Diego Regional Energy Network Update
• 2026 CAC Work Plan End of Ad-Hoc Committee
• 2026 CAC Work Plan
December 2025 – February 2026
Community Power Plan Review
Evaluate the progress made toward the
implementation of the goals and actions
outlined in the 5-year Community Power Plan.
Progress-to-date:
• Agreed on a charter
• Developed evaluation framework
Distributed Energy Resources
Review procurement strategies, financing
issues, and economic incentives.
Progress-to-date:
• Agreed on a charter
• Discussed development progress to date
• Reviewed early strategies
2025-26 Ad-Hoc Committee Activity
22 Community Advisory Committee Quarterly Report
• City of Imperial Beach
• City of Encinitas
Current Vacancies
• City of National City
• City of San Diego
• City of Encinitas
• City of La Mesa
Upcoming Vacancies (June 2026)
New CAC member for National City Sorayda Santos being sworn in on March 12, 2026.
23 Public Comment on
Item No. 12
24 Item No. 12
Board Members
Comments or
Questions
Community Advisory Committee
Quarterly Update
Recommendation:
Receive and File Community Advisory
Committee Quarterly Update.
25 Item No. 14
Adoption of
Resolution 2026-07,
Approving the Rate
Stabilization Reserve
Policy
Presenters:
Karin Burns, Chief Executive Officer
Jeb Spengler, Senior Strategic Finance Manager
Pete Polonsky, Senior Rates Analyst
Recommendation: Receive and file
Community Power’s revisions to the existing
Net Energy Metering Tariff/Program (NEM)
and to the existing Net Billing Tariff (NBT) and
Community Power’s establishment of the new
Net Billing Tariff and a Net Billing Tariff
Aggregation (NA) for all new customers who
elect this and who have installed onsite
generation on or after February 15, 2024 that
qualifies for the tariff and for existing
customers transitioning out of the Virtual Net
Energy Metering Tariff (VNEM) or the Net
Energy Metering Aggregation Tariff (NEMA)
following the conclusion and/or termination of
their NEMA legacy period.
Recommendation:
Adopt Resolution No. 2026-07, Approving the
Rate Stabilization Reserve Policy.
26 Community Power
Rate Development
Policy Objectives Competitiveness
Rate Stability
EquitySimplicity
Reserves
Cost
Recovery
Cost of
Service
Avoid Cost-Shifting
Transparency
27 Rate Stabilization Reserve (RSR) Background
Community Power’s Financial Reserves Policy provides for the funding of a Rate Stabilization Reserve with the use of excess reserves.
• Core Purpose: Allows an entity to defer the recognition of revenues in good financial years and applying those revenues to periods where they are actually needed for stabilizing customer rates or other regulatory or financial metric objectives.
• Accounting Treatment: Government Accounting Standards Board Statement No. 62 (GASB 62) allows for deferring the accrual of surplus revenues to be realized in a later year. Deferred revenues reduce net position by an equal amount in the period deferred and increases net position by an equal amount in the period it is realized. • Treatment within Reserve Calculation: Reserves held as unrestricted cash and investments for rate stabilization purposes will continue to be included as a source of liquidity for reserve calculation purposes. • Board Approval and Policy: Establishing a Rate Stabilization Reserve under GASB 62 typically requires Board approval and a formal policy. The policy outlines when and how funds can be deferred or drawn down, often with specific targets.
28 How a Rate Stabilization Reserve Works
• Allows deferral of revenue recognition in a strong financial year for use in a weaker or stressed year. • Deferred revenue reduces Net Position in the deferral year; recognition increases Net Position in the year recognized.
Strong year
(consider deferral)
RSR balance
(tracked & reported)
Weak year / rate-setting
(consider recognition)
29 Rate Development and Financial Reserves Policies
• Rate Development Policy (Nov. 17, 2022): rate stability is a core objective; rate changes should be minimized with a preference for annual adjustments; references the creation of a Rate Stabilization Reserve as a potential to mitigate rate volatility.
• Financial Reserves Policy (Dec. 11, 2025): Board may designate Reserves between the Target and Maximum thresholds as Rate Stabilization Reserves (up to 45 days cash on hand, or approx. $125 million).
• Strategic Plan FY 2026–2028: includes developing a Rate Stabilization Reserve (target referenced as $70 million) to mitigate power cost fluctuations and economic downturns. • 2026 Rate-Setting: Board-approved rates noted a path toward maintaining reserves and establishing the Rate Stabilization Reserve.
30 Rate Stabilization Reserves at Community Choice Aggregators Ava Community
Energy
Clean Power
Alliance
Marin Clean
Energy
Orange County
Power Authority
Peninsula Clean
Energy
Sonoma Clean
Power
Deposits
Amount from any
surplus determined as
appropriate, based on
Board-approved Budget
When net position
exceeds 4% of revenues,
the amount above 4%
can be transferred
When projected addition
to Net Position is greater
than 5% of total
revenues, or after
reserve policy targets are
met, from excess net
revenues
Deferrals in years w/
strong financial results
When addition to Net
Position is in excess of
3% of revenues
Any excess revenues
above the Target
Reserve Balance (365
days of expenses).
Target
20% of operating
expenses
Balance is capped at
10% of annual revenues
Up to 10% of total
revenues for current
fiscal year
None Specified 15% of annual revenues None Specified
Withdrawal
Amounts determined
necessary to stabilize
rates, satisfy covenants,
etc.
When increases in net
position fall below 4% of
revenues in the
absences of a transfer
When net revenues are
projected negative of
needed for covenants
Used to minimize near-term impact on rates
and net revenues
When projected change
in Net Position is
negative, or needed to
meet covenants
Use of reserve funds
requires a vote of the
Board.
Replenishment
None Specified None Specified None Specified None Specified None Specified During periods when the Minimum Reserve (180
days) is not met, SCP
shall set rates in a
manner to reach the
required balance within
2 years
31 Sampling of CCA Rate Stabilization Sizes
Size of Rate Stabilization Fund
AVA Community Energy $57.6 million (as of 3.31.2025)
Clean Power Alliance $135 million (as of 6.30.2025)
Marin Clean Energy $70 million (as of 3.31.2025)
Orange County Power Authority $30 million (as of 6.30.2025) Peninsula Clean Energy $68 million (as of 3.31.2025)
Sonoma Clean Power $56 million (as of 7.31.2025)
32 Rate Stabilization
Reserve
Parameters
Use Case(s)
Target Balance
Trigger and Approval Mechanisms
Replenishment
Accounting Treatment
Proposed Timeline
1 2
3 4
5 6
33 Rate Stabilization Use Cases
• Stabilize Customer Rates when certain triggers occur:
o To mitigate rate volatility caused by Market Price Benchmark (MPB) and Power Charge Indifference Adjustment (PCIA) rate fluctuations, and/or o To reduce year-over-year rate changes and/or maintain Community Power's rate competitiveness between rate-setting cycles.
• Meet required financial covenants to maintain good standing with financial institutions, counterparties and credit rating agencies
34 Target RSR Balance:
• Policy allows designation up to 45 days cash on hand as the RSR (~ $125 million) • Coverage provides for:
o ~30% of modeled Market Price Benchmark volatility risk o ~10% of Operating Revenues
o ~12% of Operating Expenses
225 Days (Target) 45 Days (RSR)
RSR Target
(45 DCOH within total Reserves)
Total Reserve Parameters
(270 DCOH)
35 Decision Points, Triggers, and Approvals
Two key decisions each year govern transfers into and recognition from the RSR:
1) Fiscal year-end transfer (by June)
CEO may authorize transferring revenue into
the RSR before fiscal year close; reported to
the Board at the next regularly scheduled
meeting.
2) Rate-setting recognition (typically
January)
CEO recommends recognition from the RSR
to the Board for approval—typically alongside
annual rate recommendations; other
recognition requests may occur with Board
approval.
36 Replenishment Requirement and Guardrails
• Replenishment: when recognition from the RSR is approved, staff will present a plan to replenish the RSR within 2–4 years, if feasible.
• Triggers to consider: projected Net Position, days cash and liquidity on hand, financial/bank covenants, and debt coverage; staff may also consider rate projections and year-over-year increases.
• Transfers and recognitions may occur within the same fiscal year, provided criteria are met. • Goal: provide a tool to support rate stability while protecting Community Power’s financial standing.
37 Proposed Timeline
Board approved updated
Financial Reserves Policy.
December 11, 2025
Community Power staff draft Rate
Stabilization Reserves Policy.
December 2025 – January
2026
Board approved 2026 rates.
January 15, 2026
Community Power staff finalized
RSR Policy.
February 2026
Board approves RSR policy.
March 26, 2026
Community Power staff
determines whether to transfer
revenues to RSR prior to end of
FY; report to Board.
May – June 2026
During 2027 rate-setting
process, Community Power staff
decides whether to recognize
funds from RSR to mitigate rate
volatility, pending Board
approval.
November 2026 – January 2027
38 Public Comment on
Item No. 14
39 Item No. 14
Board Members
Comments or
Questions
Adoption of Resolution
2026-07, Approving the
Rate Stabilization
Reserve Policy
Recommendation:
Adopt Resolution No. 2026-07, Approving
the Rate Stabilization Reserve Policy.
40 Item No. 15
Approve Agreement with
Calpine Community Energy,
LLC for Data Management and
Customer Center Services for
an Estimated $12,701,612 per
Fiscal Year, Plus a Maximum
CPI Annual Increase of 4.0%
for an Initial 3-year Term with
Renewals
Presenters:
Lucas Utouh, Senior Director of Data Analytics and Customer Operations
Recommendation: Receive and file
Community Power’s revisions to the existing
Net Energy Metering Tariff/Program (NEM)
and to the existing Net Billing Tariff (NBT) and
Community Power’s establishment of the new
Net Billing Tariff and a Net Billing Tariff
Aggregation (NA) for all new customers who
elect this and who have installed onsite
generation on or after February 15, 2024 that
qualifies for the tariff and for existing
customers transitioning out of the Virtual Net
Energy Metering Tariff (VNEM) or the Net
Energy Metering Aggregation Tariff (NEMA)
following the conclusion and/or termination of
their NEMA legacy period.
Recommendation:
Approve agreement with Calpine Community
Energy, LLC for Data Management and
Customer Center Services for an initial 3-year
term beginning in May 2026, with an option
for one two-year renewal and yearly renewals
thereafter and authorize the Chief Executive
Officer to execute the contract.
41 Data Management and Customer Center Services: Mission Critical for Community Power
Billing Accuracy and Data Integrity
Accurate daily ingestion of usage data ensures timely billing and reduces customer confusion and complaints.
Customer Service Responsiveness
Contact center and Interactive Voice Response (IVR) address enrollment and billing inquiries, with performance metrics critical during high-volume periods.
Compliance and Market Functions
Settlement Quality Meter Data (SQMD) delivery compliant with regulations prevents penalties and supports market operations.
Complex Rate Configuration and Data Analytics
Managing thousands of rate components and integrating CRM and data warehouse manages billing complexities and supports strategic goals. 42 Procurement Process and Vendor Selection Criteria
Structured Procurement Process
Community Power followed a rigorous Request For Proposals (RFP) and evaluation process to select the vendor for these critical services based on value and operational excellence.
Vendor Selection Criteria
Calpine was chosen for its experience in SDG&E territory and outstanding billing accuracy since 2021 - Calpine’s metrics have been at 99.9% for both billing accuracy and timeliness in the last 5 years of serving Community Power. Calpine is also local with its headquarters in Downtown San Diego.
Context of Acquisition Impact (Why did it take so long to negotiate this new agreement?)
Calpine’s acquisition by Constellation during negotiations period required careful risk and multiple contract management reviews.
Legacy Contract Launch Provisions
The existing agreement from 2020 supported Community Power’s service launch needs with cash advances, bond support and Community Benefits contribution. The new agreement before the Board is a continuation of the outstanding partnership between Calpine and Community Power.
43 New Agreement Service Level Accountability and Remedies:
Contact Center, Billing and Data Deliverables
Contact Center Service Levels
Defined response-time standards and abandon rate thresholds enable fixed-dollar invoice reductions for missed targets.
Billing Accuracy and Liability
A 99% monthly billing accuracy rate is required, with error notifications and capped consultant liability for damages.
Reporting and Data Remedies
Corrected reports must be reissued within two weeks, emphasizing lower risk compared to billing or data errors.
Settlement Quality Meter Data Controls
Reimbursements, thresholds, and termination rights protect against significant settlement data errors and penalties.
44 New Agreement Scope Enhancements, Data Retention/Access Controls Enhanced Operational Interfaces
Ticketing system improves workload visibility and reduces informal communication reliance.
Data Platform and API Access
Enterprise Data Platform (EDP) integration supports analytics migration with controlled API-based vendor data access.
Data Retention and Governance
Defined retention schedules reduce disputes and ensure compliance with privacy and regulatory standards.
Reporting and Oversight
Regular report production and controlled third-party access enable measurable vendor governance.
45 Fiscal Impact
Per Meter Pricing Per Account Pricing Potential Savings = 1,192,774 meters * $0.85 = $1,013,857.90 = 968,427 accounts * $0.85 = $823,162.95 $190,694.95 = 1,192,774 meters * $0.975 = $1,162,954.65 = 968,427 accounts * $0.975 = $944,216.33 $218,738.33 Existing Agreement
New Agreement
46 Public Comment on
Item No. 15
47 Item No. 15
Board Members
Comments or
Questions
Approve Agreement with Calpine
Community Energy, LLC for Data
Management and Customer
Center Services for an Estimated
$12,701,612 per Fiscal Year, Plus a
Maximum CPI Annual Increase of
4.0% for an Initial 3-year Term
with Renewals
Recommendation:
Approve agreement with Calpine
Community Energy, LLC for Data
Management and Customer Center Services
for an initial 3-year term beginning in May
2026, with an option for one two-year
renewal and yearly renewals thereafter and
authorize the Chief Executive Officer to
execute the contract.
48 Item No. 16
Approve Amendment No. 2 to
Professional Services
Agreement with Wipro
Connected Services (formerly
known as Harman Connected
Services, Inc.) for Enterprise
Data Platform (EDP) Phase 2
Implementation and Managed
Services for an additional not-to-exceed amount of
$530,000
Presenter:
Stephen Yi, Associate Director of IT and Data Analytics Recommendation: Receive and file
Community Power’s revisions to the existing
Net Energy Metering Tariff/Program (NEM)
and to the existing Net Billing Tariff (NBT) and
Community Power’s establishment of the new
Net Billing Tariff and a Net Billing Tariff
Aggregation (NA) for all new customers who
elect this and who have installed onsite
generation on or after February 15, 2024 that
qualifies for the tariff and for existing
customers transitioning out of the Virtual Net
Energy Metering Tariff (VNEM) or the Net
Energy Metering Aggregation Tariff (NEMA)
following the conclusion and/or termination of
their NEMA legacy period.
Recommendation:
Approve Amendment No. 2 to the
Professional Services Agreement with Wipro
Connected Services (formerly known as
Harman Connected Services, Inc.) for
additional scope of work and increase the not-to-exceed amount by $530,000 for a revised total contract not-to-exceed amount of
$1,751,000 and authorize the Chief Executive
Officer to execute the contract.
49 Amendment No. 2 to the Professional Service
Agreement with Wipro Connected Services
Background Information
o December 2024 Board approved EDP Phase 1, NTE
$850,000
o November 2025 Board approved Amendment No. 1, EDP
Managed Services, and response to changes made by the
incumbent data manager, new NTE $1,221,000
($371,000)
o Today, seeking approval for EDP Phase 2, new NTE
$1,751,000 ($530,000)
50 EDP Phase 2, Executive Overview
Strategic Capability Emphasis
EDP is positioned as a strategic capability, focusing beyond just technical implementation to enterprise value.
Phase 1 Foundation
Phase 1 established a durable, automated, and secure data foundation, replacing manual and fragmented practices.
Phase 2 Scaling and Impact
Phase 2 focuses on scaling platform use across departments to deliver operational value and support decision-making.
Continuity and Responsible Growth
The transition from building the foundation to leveraging it reflects continuity, maturity, and prudent expansion.
51 EDP Phase 1 Overview
Automated Data Ingestion: Replaced manual data
pulls and spreadsheets with automated ingestion from
vendor APIs and scheduled feeds.
Centralized Data Platform: Consolidated scattered
datasets into a single enterprise platform for unified
data management.
Data Cleaning and Validation: Standardized and
validated data with consistent definitions to reduce
discrepancies and increase trust.
Reliable Data Workflows: Shifted from fragile, manual
processes to repeatable, reliable systems supporting
growth.
What We Built
Standardized Reporting: Standardized reporting uses
shared datasets and consistent definitions for
accurate, predictable dashboards and analyses across
teams.
Scalable Repeatable Analyses: Previously impractical
analyses are now repeatable and scalable, overcoming
data size and fragmentation challenges.
Production Forecasting Deployment: Core reports
and first production forecasting capabilities were
deployed in an operational shared environment.
Operational Controls and Reliability: Production-grade operational controls establish disciplined change processes to improve reliability and reduce risk.
Operational Capabilities Delivered
52 EDP Phase 1, Impacts Already Being Realized
Reduced Manual Effort
Teams are spending less time on manual tasks, lowering
operational risk and diminishing reliance on individual knowledge.
Consistent Reporting
Reporting is more trusted and consistent, significantly reducing the effort required for reconciliation and stakeholder confusion.
Faster Turnaround
Centralized, pre-prepared data improve turnaround times for common data and reporting requests.
Scalable Data Handling
The organization can now manage larger data volumes and complex analyses without increasing manual effort or staffing. 53 EDP Phase 2
Extension of Proven Automation: Phase 2 applies
proven discipline and automation from Phase 1 to new
high-impact domains for greater operational value.
Focus on Critical Domains: Power Services, Programs,
Customer Ops, and Finance all benefit from timely,
trusted data to enhance operations and strategy.
Risks of Delay: Delaying Phase 2 risks underutilizing
the platform and continuing manual workarounds in
essential functions.
Responsible Scaling: Phase 2 supports responsible
growth by scaling solutions to meet complexity,
regulations, and planning needs.
Why Now
Granular Forecasting: Enables detailed, interval-driven load and revenue forecasting for improved enterprise
planning and accuracy.
Data Enrichment: Enhances customer data with
external demographic and property information to
enrich insights and targeting.
Secure Data Sharing: Establishes a secure and
standardized framework for data exchange with
vendors and partners.
Platform Integration: Advances integration with CRM
and ETRM platforms to reduce fragmentation and
manual handoffs.
Organizational Value
54 Departmental Impact: Programs and Customer Operations Integrated Data Tools
Phase 2 offers practical tools integrating
customer, demographic, geographic, and
property data for streamlined operations.
Enhanced Program Management
Teams achieve faster insights into participation,
eligibility, and outcomes for more responsive
and effective program management.
Reduced Data Friction
Simplified data access and preparation frees
staff to focus on program delivery and
community impact instead of data tasks.
55 Departmental Impact: Power Services
Data Automation Benefits
Phase 2 automates ingestion and cleaning of operational and market data, reducing manual reconciliation efforts.
Improved Forecasting Accuracy
Granular interval data enhances short- and long-term load and revenue forecasting for better planning.
Enhanced Decision-Making
Clearer portfolio visibility enables confident, data-driven decisions supporting rate setting and risk management.
56 Delivery, Risk Management, and Continuity
Phased Delivery Approach
Phase 2 will be delivered in scheduled waves with
governance and acceptance gates ensuring quality at every stage.
Managed Services Support
Ongoing stability, monitoring, and support are provided through managed services to maintain system reliability.
Continuity and Risk Management
Using the same vendor preserves knowledge, maintains
architectural continuity, and reduces operational risks.
Maintaining and enhancing the high level of cybersecurity controls as initiated during Phase 1.
57 Public Comment on
Item No. 16
58 Item No. 16
Board Members
Comments or
Questions
Approve Amendment No. 2 to
Professional Services Agreement
with Wipro Connected Services
(formerly known as Harman
Connected Services, Inc.) for
Enterprise Data Platform (EDP)
Phase 2Implementation and
Managed Services for
an additional not-to-exceed
amount of $530,000
Recommendation:
Approve Amendment No. 2 to the
Professional Services Agreement with Wipro
Connected Services (formerly known as
Harman Connected Services, Inc.) for
additional scope of work and increase the
not-to-exceed amount by $530,000 for a
revised total contract not-to-exceed amount
of $1,751,000 and authorize the Chief
Executive Officer to execute the contract.
59 Item No. 17
Community Benefits
Framework
Presenters:
Karin Burns, Chief Executive Officer
Xiomalys Crespo, Senior Community Engagement Manager
Recommendation: Receive and file
Community Power’s revisions to the existing
Net Energy Metering Tariff/Program (NEM)
and to the existing Net Billing Tariff (NBT) and
Community Power’s establishment of the new
Net Billing Tariff and a Net Billing Tariff
Aggregation (NA) for all new customers who
elect this and who have installed onsite
generation on or after February 15, 2024 that
qualifies for the tariff and for existing
customers transitioning out of the Virtual Net
Energy Metering Tariff (VNEM) or the Net
Energy Metering Aggregation Tariff (NEMA)
following the conclusion and/or termination of
their NEMA legacy period.
Recommendation:
Receive and File this informational item
regarding the Community Benefits
Framework.
60 Community Benefits Funding Overview
• Community benefits are legally binding provisions of Power Purchase Agreements (PPAs) between developers and Community Power, meant to address a broad range of community needs and ensure that local residents share in the benefits of major developments in their communities • Community Power anticipates approximately $2.8 million through 2028 tied to negotiated PPAs • General allowable uses:
o Housing
o Education
o Workforce
o Environmental stewardship
o Habitat improvement
o Initiatives of mutual interest (between "Buyer" and "Seller") • Some developer scope review requirements
• General Counsel interpretation may be required project-by-project 61 Anticipated Community Benefits Funding per Project
Vendor Project County
Contractual
Cash-on-Delivery
Expected
Cash-on-Delivery
Amount
Estimated
Funding
Availability
Date
Middle River
Power Enterprise San Diego 1/1/2026 N/A $125,000 3/2/2026 Aypa Vidal San Bernardino 3/1/2026 12/31/2026 $500,000 1/30/2027 SB Energy Athos Riverside 1/1/2027 1/1/2027 $200,000* 3/1/2027 Middle River
Power Border San Diego 1/1/2026 N/A $125,000 3/1/2026
NextEra YellowPine III Riverside 6/1/2027 9/1/2027 $250,000 6/1/2027 Noble Solar Purple Sage Clark 6/1/2028 6/30/2027 $1,000,000** See footnote.
Aypa Euismod Kern 6/1/2028 N/A $100,000 7/31/2028
SB Energy Pelican's Jaw Kern 4/1/2027 N/A $500,000 9/1/2025 Intersect Power Darden Fresno 6/1/2028 6/1/2028 $100,000 Within first 5
contract
years.
* Seller shall make this payment within sixty (60) days of the Commercial Operation Date upon Seller’s review of the scope of the initiatives to be funded by Buyer. ** Seller shall make this payment in two parts: (a) Five Hundred Thousand Dollars ($500,000.00) within sixty (60) days of the commencement of Contract Year 2, and (b) Five Hundred Thousand Dollars ($500,000.00) within sixty (60) days of the commencement of Contract Year 3 62 Community Benefits Funding Considerations
• Strategic Alignment: Funding use should remain consistent with the agency's strategic goals and, whenever possible, leverage existing programming.
• One-Time Funding and Fiscal Responsibility: This funding is tied to a limited number of Power Purchase Agreements (PPAs), without a commitment for future funding. • Permissible Uses and Stakeholder Review: Some provisions require developer review of expected use of funds before their release, and General Counsel will interpret the legal uses of anticipated funding through the development of the framework. • Governance and Approval Authority: The Board may choose to delegate authority to staff and/or seek to hire a program administrator.
• Community Engagement: The CAC and the Board may recommend additional outreach . 63 • Staff recommends prioritizing a community grantmaking program centered on Distributed Energy Resources and consistent with Community Power's FY25-28 Strategic Goals. • Eligible Partners: Nonprofits, member agencies, small businesses, community facilities • Strategic Alignment:
o Lowering energy costs for local organizations
o Providing backup power/resilience during grid outages o Advancing our 150 MW local development goal
• Compliant with contractual allowable uses, feasibility within available funding levels and administrative capacity, and potential for measurable impact
• Benchmarking: Community Power considered uses of similar funds locally and nationally, as well as existing (and potentially new) Community Power programming, such as Equitable Building Decarbonization Direct Install Program, sponsorships and partnerships, and direct bill credits. • CAC Feedback: Consistent with flexible uses and existing programming; inclusion of public agencies.
Staff Recommendation
64 • Funding Priorities:
o Increased overall energy literacy
o Energy-focused educational programming that encourages clean energy use, particularly for youth o Indoor and/or outdoor air quality improvement related to electrification o Clean energy workforce development
o Improved energy resilience to ensure communities can avoid, prepare for, minimize, adapt to and recover from energy disruptions
• Eligibility: Tax-exempt nonprofits
• Evaluation Committee: Community Power representatives and program partners adhering to Conflict of Interest Policy • Evaluation Criteria:
o Funding Priority Alignment and Project Design
o Feasibility
o Communities Served
o Impact and Growth
• Reporting Requirements: Final reports summarizing project outcomes and metrics as defined in an executed grant agreement.
Staff required to inform the Board of program-related disbursements. • Compliance with Applicable Laws: Contractors and grantees required to comply with all applicable federal, state, and local laws, rules, and regulations, which may include provisions of the California Labor Code related to the payment of prevailing wages. • Authority Delegation: CEO or designee approves guidelines, implements the program, develops and executes agreements and makes minor modifications to guidelines, where necessary.
Community Clean Energy Grants Policy (Feb. 22, 2024)
65 Next Steps
• March 12, 2026: Community Advisory Committee Feedback • March 26, 2026: Board of Directors Direction
• April – June 2026: Developer Review/Involvement; Additional community engagement • August 2026: Community Benefits Framework for Board of Directors approval • September 2026: Request for Proposal for Program Administrator issued 66 Public Comment on
Item No. 17
67 Item No. 17
Board Members
Comments or
Questions
Community Benefits Framework
Recommendation:
Receive and File this informational item
regarding the Community Benefits
Framework.
68 Item No. 18
Announcement of
Public Investment
Grade Credit Rating
from S&P Global
Ratings
Presenter:
Karin Burns, Chief Executive Officer
Recommendation: Receive and file
Community Power’s revisions to the existing
Net Energy Metering Tariff/Program (NEM)
and to the existing Net Billing Tariff (NBT) and
Community Power’s establishment of the new
Net Billing Tariff and a Net Billing Tariff
Aggregation (NA) for all new customers who
elect this and who have installed onsite
generation on or after February 15, 2024 that
qualifies for the tariff and for existing
customers transitioning out of the Virtual Net
Energy Metering Tariff (VNEM) or the Net
Energy Metering Aggregation Tariff (NEMA)
following the conclusion and/or termination of
their NEMA legacy period.
Recommendation:
Receive and file staff report acknowledging
San Diego Community Power’s publicly issued
“A” Issuer Credit Rating with a Stable Outlook
from S&P Global Ratings.
69 Community Power Achieves Public ‘A’ (Stable Outlook) Credit Rating from S&P Global Ratings
Financial Milestone and Strategic Objective Achieved
o On March 9, Community Power was assigned an “A” Issuer Credit Rating with a Stable Outlook from S&P Global Ratings.
Reputation and Stability
o The Stable Outlook signals confidence in Community Power’s prudent management and ongoing operational stability.
Industry Leadership
o The credit rating places Community Power among the highest rated community choice aggregators. 70 Noted Credit Strengths
Diverse Customer Base
o Community Power serves about 950,000 accounts with no significant customer concentration, ensuring revenue stability.
Strong Governance & Management
o Robust governance with autonomous rate-setting and experienced leadership supports stability.
Sound Financial Profile
o Strong liquidity and prudent forecasting bolster credit-supportive financial health.
Low Operational & Climate Risk
o Community Power’s carbon-free power portfolio and no ownership of transmission assets reduce operational risks.
Strategic Renewable Vision
o Plan for 100% renewable energy by 2035 enhances resilience and market alignment. 71 Fiscal and Strategic Benefits of Public Investment Grade Rating Financial Negotiation Advantages
o The rating improves Community Power’s negotiating power with suppliers and banks, enabling better contract terms and less credit support.
Cost Savings from Credit Rating
o Potential reduction or removal of standby letters of credit leads to significant ongoing cost savings and fee elimination.
Strategic Market Access
o The rating broadens access to capital markets and financial partners, supporting future financing and lower customer energy costs.
Enhanced Transparency and Credibility
o Public rating fosters trust with customers, regulators, and stakeholders through regular financial reviews and transparency.
72 Public Comment on
Item No. 18
73 Item No. 18
Board Members
Comments or
Questions
Announcement of Public
Investment Grade Credit Rating
from S&P Global Ratings
Recommendation:
Receive and file staff report acknowledging
San Diego Community Power’s publicly
issued “A” Issuer Credit Rating with a Stable
Outlook from S&P Global Ratings.
74 Chief Executive Officer Report
75 Prepay Transaction No. 3 Finalized
Bond Size $687,215,000
Transaction Bond Rating A3 (Moody’s) - rating of Realty Income (taxable funding recipient) Green Bond Certification Kestrel Sustainability Benchmark 5.00 out of 5.00 Top 1% compared to all bonds scored in electric utility sector Initial Bond Pricing Period Savings are locked in for ~10 Years (Feb. 1, 2036) Discount Achieved
$43,177,761 total savings
~$4.3 million per year in costs saved through initial period (including annual rebates)**
Power Delivery Start Date September 1, 2026
76 Board Member Announcements
77 Adjournment
78 Next Regular Community
Power Board Meeting
April 23, 2026
[email protected]