Presentation — San Diego Community Power Board of Directors, June 25, 2026

1 The June 25, 2026, Regular
Meeting of the Board of
Directors
will Begin Shortly
[email protected]
2 Board of Directors
Regular Meeting
June 25, 2026
3 Welcome and Call to Order
4 Roll Call
55 6
Land Acknowledgement
7 Items to be Withdrawn or
Reordered on the Agenda
8 Special Presentations
9 Matthew Vasilakis
City of San Diego
Recognition of Outgoing
Community Advisory Committee Members
David Harris
City of La Mesa
Tara Hammond
City of Encinitas
Lawrence Emerson
City of National City
10 Public Comment on non-Agenda Items
11 Consent
Calendar

1. Approve May 28, 2026, and June 18, 2026, Meeting Minutes

2. Receive and File Programs Update

3. Receive and File Power Services Update

4. Receive and File Customer Operations Update

5. Receive and File IT and Data Analytics Update

6. Receive and File Human Resources Update

7. Receive and File Marketing, Public Relations, and Local Government Affairs Update

8. Receive and File Treasurer’s Report for Nine-Month Period Ending March 31, 2026

9. Receive and File Regulatory and Legislative Affairs Update

10. Adoption of Resolution 2026-09, approving San Diego Community Power’s 2026 Integrated Resource Plan (IRP)

11. Update on the California Energy Commission’s Equitable Building Decarbonization Direct Install Program
12 Public Comment on Consent Calendar
13 Regular
Agenda

12. Public Hearing on the Status of Vacancies, Recruitment and Retention Efforts

13. Adoption of Resolution No. 2026-10, approving the FY 2026-2027 Operating Budget, the FY 2026-2027 Capital Budget, and the FY 2027- 2031 Capital Investment Plan

14. Approve 15-Year Renewable Power Purchase Agreements with SunZia Wind North LLC and SunZia Wind South LLC for 25 MW of wind products in substantially final form and authorize the Chief Executive Officer to execute the agreement

15. Approve the proposed 9-Year Renewable Power Purchase Agreement (“PPA”) with Kumeyaay Wind LLC for 50 MWs of wind product in substantially final form and authorize the Chief Executive Officer to execute the agreement

16. Approve Second Amendment to Employment Agreement for General Counsel
14 Item No. 12
Public Hearing on the Status
of Vacancies, Recruitment
and Retention Efforts
Presenter:

Chandra Pugh, Senior Director of People and Administration 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:

Hold a public hearing, receive comments,
and accept report on the status of
Community Power employee vacancy rates
and recruitment and retention efforts.
15 Background
Assembly Bill (AB) 2561 (McKinnor) amended the Myers-Milias-Brown Act (MMBA) to add Government Code Section 3502.3, which created a new obligation for public agencies to present the status of vacancies and recruitment and retention efforts.

The public hearing must be held at least once per fiscal year prior to adopting an annual budget. During the hearing, the public agency shall identify any necessary changes to policies, procedures, and recruitment activities that may lead to obstacles in the hiring process. The law also allows recognized employee organizations, which Community Power does not have, an opportunity to present at the public hearing. The new law took effect on January 1, 2025, and applies to all public agencies.
16 Requirements
• "Status" of vacancies - 28 vacancies of which 23 were new positions • Recruitment and retention efforts
• Present findings and make any recommendations, if needed, to recruitment and retention efforts
17 Current Openings
• Marketing and Communications Associate: In-Person interviews.

Using outside Executive recruiter to source candidates. No foreseen obstacles to hiring.
• Data Engineer: High number of applications received. No foreseen obstacles to hiring.
• Program Associate: Final interview stages.
18 Findings
Employee turnover at Community Power this past fiscal year stood at 3.16%, and employee retention stood at 96.8%, as shown in the table below. Of the twenty-eight vacancies, twenty-three were new positions; four positions were backfilled, and one position being backfilled was split into two part-time hires. Community Power’s retention efforts include offering competitive wages, 10% of base pay employer contribution to employee Money Purchase Plan retirement account, generous vacation, and sick time, 11 paid holidays including a winter break, and a professional development stipend. Because Community Power has been highly successful in filling vacant positions this past fiscal year and retaining its employees, no changes are being recommended to its recruitment process and retention efforts.
19 Status of Vacancies
20 Retention Efforts
• Competitive Pay
• 10% of base pay employer contribution to employee Money Purchase Plan retirement account
• Competitive total compensation package for talent retention • 11 paid holidays including winter break (Dec. 23 – Jan. 1) • Professional Development Stipend
21 Public Comment on
Item No. 12
22 Item No. 12
Board Members
Comments or
Questions
Public Hearing on the Status
of Vacancies, Recruitment
and Retention Efforts
Recommendation:

Hold a public hearing, receive comments,
and accept report on the status of
Community Power employee vacancy
rates and recruitment and retention efforts.
23 Item No. 13
Adoption of
Resolution No. 2026-
10, approving the FY
2026-2027 Operating
Budget, the FY 2026-
2027 Capital Budget,
and the FY 2027-
2031 Capital
Investment Plan
Presenter:

Tim Manglicmot, Senior Director of Finance and Risk
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:

Adoption of Resolution No. 2026-10,
approving the FY 2026-2027 Operating
Budget, the FY 2026-2027 Capital Budget,
and the FY 2027-2031 Capital Investment
Plan.
24 Budget Cycle Timeline
February
March
April
May
June
Develop Operating Revenue
Estimate
Develop Operating Expense
Estimate
Internal budget planning and
priorities
Staff develop operating
budgets
Staff continue to develop
operating budgets
Baseline budget is developed
Finance and Risk
Management Committee
Review
Community Power Board
Review
Community Advisory Committee
Review
Finance and Risk Management
Committee Review
Community Power Board
Approval
25 Budget Highlights
Fiscal Responsibility.Maintaining strong reserves, proactive risk management, and innovative financial strategies to navigate market uncertainty while
preserving long-term affordability and resilience.

Organizational Sustainability. Strengthening our internal capacity to support long-term strategy and service delivery.

Stable, Competitive Rates. Maintaining affordability through disciplined operations, long-term procurement and financial foresight.

Local Investment. Continuing to invest in local projects that increase grid reliability and help keep power affordable for customers.

Capital Investment Plan. Advancing our Capital Investment Plan to guide infrastructure development and ensure transparency.
26 FY 2026-2027 Operating Budget
Item
May 28, 2026
Board Meeting,
$M
June 18, 2026
FRMC Meeting,
$M
FY27
Budget Change,
$M
Gross Revenue 932.8 932.8 -
Less Uncollectible Accounts (14.0) (14.0) -
Net Revenue 918.8 918.8 -
Cost of Energy 872.3 872.3 -
Non-Energy Costs 56.5 55.7 (0.8)
Subtotal Operating Expense 928.9 928.1 -
Interest Income (23.1) (23.1) -
Debt Service 1.9 1.9 -
Capital Investment Plan 8.0 8.0 -
Total Expense 915.7 914.9 (0.8)
Net Position 3.1 3.9 (0.8)
Reductions
FY27
Budget Change,
$M
Personnel (0.72)
Prof. Services (0.08)
Strat. Comm. (0.02)
General & Admin. (0.01)
Total (0.82)
Staff further reviewed
Community Power’s
non-energy budget and are proposing
further reductions of
$0.8 million.
*Certain figures presented may vary slightly due solely to rounding 27 FY 2026-2027 Operating Budget
Item
FY 2025-2026
Amended Budget,
$M
FY 2026-2027
Proposed Budget,
$M
Gross Revenue 1,194.8 932.8
Less Uncollectible Accounts (19.4) (14.0)
Net Revenue 1,175.4 918.8
Cost of Energy 969.9 872.3
Non-Energy Costs 50.0 55.7
Subtotal Operating Expense 1,019.9 928.1
Interest Income (18.3) (23.1)
Debt Service 1.5 1.9
Capital Investment Plan 21.9 8.0
Total Expense 1,025.0 914.9
Net Position 150.4 3.9
Year-Over-Year
Rate Reduction Anticipated
Jan to Jun 2027
($97.6M)
Cost of Energy Decrease
+$5.7M
Non-Energy Increase
+$3.9M
Net Position
($13.9M)
Lower CIP
Contribution
28 $0.0M
$100.0M
$200.0M
$300.0M
$400.0M
$500.0M
$600.0M
$700.0M
$800.0M
01/01/26
02/01/26
03/01/26
04/01/26
05/01/26
06/01/26
07/01/26
08/01/26
09/01/26
10/01/26
11/01/26
12/01/26
01/01/27
02/01/27
03/01/27
04/01/27
05/01/27
06/01/27
07/01/27
08/01/27
09/01/27
10/01/27
11/01/27
12/01/27
Reserve Projections
280-DCOH
Projected FYE 2026-27
Reserve Balance
FYE 2026-2027
30 to 50
DCOH
FY26 Deferral to RSR
29 CIP Highlights
SD Regional Energy Network.In partnership with the County of San Diego, SDREN generates nearly $125 million in energy efficiency resources for the region through 2027 and marks the final major population area in California to establish a Regional Energy Network.

Solar Battery Savings. $3.5M investment to fund upfront and performance-based incentives for home battery systems that boost resilience and reduce grid demand during peak hours.

Pilot Programs. $2.5 million to support Customer Pilot Programs which represent small-scale, short-duration projects that can provide data on program design,
technology acceptance and other information helpful for broader program delivery.

Programs and Incentives. $1.5 million will support the Distributed Energy Resources Management Systems Software Platform to support the organization’s Flexible Load Strategy.
30 Capital Budget and CIP
Carryforward FY27 FY28 FY29 FY30 FY31 Total
External Funding
Regional Energy Network - 63.1 51.4 42.0 43.7 45.5 245.7 DAC-GT 0.3 0.3 - - - - 0.6
Equitable Building Decarbonization 1.4 - - - - - 1.4
Planning and Studies 0.7 - 0.7
Total External Funding 2.4 63.4 51.4 42.0 43.7 45.5 248.4 Internal Funding
Solar Battery Savings 10.8 3.5 10.4 8.3 8.5 7.6 49.1
Pilot Programs 2.0 2.5 - - - 4.5
Grants 1.3 - - - - - 1.3
Flexible Load 0.5 1.5 - - - - 2.0
IT Projects 3.2 0.2 - - - - 3.4
Program Evaluation 0.3 0.3 - - - - 0.6
Application Assistance 0.3 - 0.3 - - 0.3 0.9
Total Internal Funding 18.4 8.0 10.7 8.3 8.5 7.9 61.8
Total CIP Expenses 20.8 71.40 62.10 50.30 52.20 53.40 310.2 Appropriated in
prior fiscal years
Proposed Capital
Budget
Proposed Capital
Investment Plan
31 Proposed Actions
Operating Budget
Proposed Board Action
Capital Budget Capital Investment Plan
(FY27-FY31)
Operating Budget
Receive and file the FY2026-27
Operating Budget, which incudes net
revenues of $918.8M and total
expenses of $914.9M for a total
increase in net position of $3.9M
Capital Budget
Approve, as part of the operating budget,
an $8.0M transfer from operations to
support the FY2026-27 capital budget.

This supplements $63.4 M in authorized
external funding for a capital budget of
$71.4M
Capital Investment Plan
Approve and file the FY2027-2031
Capital Investment Plan which projects
a total investment of $310.7M over
the 5-year outlook period.

Net Revenue: $918.8M
Total Expense: 914.9M
Net Position $3.9M
Operating Transfer $8.0M
Authorized Budget 63.4M
FY27 Capital Budget $71.4M
External Funding $249.1M
Internal Funding 61.6M
CIP $310.7M
32 Public Comment on
Item No. 13
33 Item No. 13
Board Members
Comments or
Questions
Adoption of Resolution No.
2026-10, approving the FY
2026-2027 Operating
Budget, the FY 2026-2027
Capital Budget, and the FY
2027-2031 Capital
Investment Plan
Recommendation:

Adoption of Resolution No. 2026-10,
approving the FY 2026-2027 Operating
Budget, the FY 2026-2027 Capital Budget,
and the FY 2027-2031 Capital Investment
Plan.
34 Item No. 14
Approve 15-Year Renewable
Power Purchase Agreements
with SunZia Wind North LLC
and SunZia Wind South LLC
for 25 MW of wind products
in substantially final form
and authorize the Chief
Executive Officer to execute
the agreement
Presenter:

Andrea Torres, Director of Origination
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 15-Year Renewable Power Purchase
Agreements with SunZia Wind North LLC
and SunZia Wind South LLC for 25 MW of
wind products in substantially final form and
authorize the Chief Executive Officer to
execute the agreement.
35 SunZia Wind Project Background
• Project: SunZia Wind (newly operational)
• Source: Seller’s auction (7 auctions)
• Capacity: 25 MW of Energy Only capacity to
Community Power
• Total project is ~3,600 MW, the largest wind
facility in the United States
• Developer: Pattern Energy
• Location: New Mexico
36 SunZia PPA Background • Products: Energy, RECs • Developer: Pattern Energy • Delivery Start: 1/1/27 • Term: 15 years • Workforce: Built, union-constructed under PLAs • Powers equivalent to nearly 20,000 homes annually
• PPA terms are aligned with Community Power’s
existing 150 MW PPA, but with adjusted terms
to account for no Resource Adequacy
• Provides Community Power with damages for
failure to meet certain performance thresholds
37 SunZia PPA Staff Analysis
• Elimination of tax credits, as well as permitting
and interconnection challenges are increasing
market interest for operational wind resources
• Wind is complementary to solar-heavy
portfolio, reducing GHG emissions during
evening hours from CAISO grid system power
• Important for PSD hourly GHG emissions
reporting in 2028 and CPUC and CARB 8 MMT
GHG targets by 2045
38 Public Comment on
Item No. 14
39 Item No. 14
Board Members
Comments or
Questions
Approve 15-Year Renewable
Power Purchase Agreements
with SunZia Wind North LLC
and SunZia Wind South LLC
for 25 MW of wind products
in substantially final form and
authorize the Chief Executive
Officer to execute the
agreement
Recommendation:

Approve 15-Year Renewable Power
Purchase Agreements with SunZia Wind
North LLC and SunZia Wind South LLC for
25 MW of wind products in substantially
final form and authorize the Chief
Executive Officer to execute the
agreement.
40 Item No. 15
Approve the proposed 9-
Year Renewable Power
Purchase Agreement
(“PPA”) with Kumeyaay
Wind LLC for 50 MWs of
wind product in
substantially final form
and authorize the Chief
Executive Officer to
execute the agreement
Presenter:

Recommendation:

Approve the proposed 9-Year Renewable
Power Purchase Agreement (“PPA”) with
Kumeyaay Wind LLC for 50 MWs of wind
product in substantially final form and
authorize the Chief Executive Officer to
execute the agreement.
41 Kumeyaay Wind Project Background
• Project: Kumeyaay Wind (existing)
• Source: Local RFI
• Capacity: 50 MW
• Operation Status: Operational since
2005
• Owner: Leeward Renewable Energy
• Location: San Diego County (near
Boulevard)
42 Kumeyaay PPA Background • Product: Energy, RECs, RA • Delivery Start: 9/1/26 • Term: 9 years • Powers equivalent to nearly 40,000 homes annually
• Provides Community Power
with damages for failure to
meet certain performance
thresholds
43 Kumeyaay PPA Staff Analysis
• Elimination of tax credits, as well as permitting and interconnection challenges are increasing market interest for operational wind resources.
• Wind is complementary to solar-heavy portfolio, reducing GHG emissions during evening hours from CAISO grid system power • Important for PSD hourly GHG emissions reporting in 2028 and CPUC and CARB 8 MMT GHG targets by 2045.
• Competitively priced among wind resource offers
• Provides local RA
• Community Benefits:
• Campo Kumeyaay Nation receives 5% of PPA revenue via lease agreement.
• Commits to a Community Benefits contribution
• Workforce: Crane and substation maintenance work performed by union labor.
44 Public Comment on
Item No. 15
45 Item No. 15
Board Members
Comments or
Questions
Approve the proposed 9-Year
Renewable Power Purchase
Agreement (“PPA”) with
Kumeyaay Wind LLC for 50
MWs of wind product in
substantially final form and
authorize the Chief Executive
Officer to execute the
agreement
Recommendation:

1. CONFERENCE WITH LEGAL COUNSEL- ANTICIPATED LITIGATION Government Code section 54956.9(d)(2): One matter

2. CONFERENCE WITH LABOR NEGOTIATORS PURSUANT TO GOVERNMENT CODE SECTION 54957.6
Agency designated representative(s): Law Firm of Best, Best & Krieger Unrepresented employee(s): General Counsel

3. PUBLIC EMPLOYEE PERFORMANCE EVALUATION PURSUANT TO GOVERNMENT CODE SECTION 54957
Title: Chief Executive Officer

4. PUBLIC EMPLOYEE APPOINTMENT PURSUANT TO GOVERNMENT CODE SECTION 54957 Title: Acting Chief Executive Officer
49 Public Comment on Closed Session
50 CLOSED SESSION IN PROGRESS

OPEN SESSION WILL RESUME SOON
51 Call to Order - Open Session
52 Roll Call
53 Report on Closed Session
54 Item No. 16
Approve Second
Amendment to
Employment
Agreement for General
Counsel
Presenter:

Nicholaus Norvell, Special Legal Counsel
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 Second Amendment to General
Counsel Employment Agreement.
55 Public Comment on
Item No. 16
56 Item No. 16
Board Members
Comments or
Questions
Approve Second
Amendment to
Employment
Agreement for
General Counsel
Recommendation:

Approve Second Amendment to General
Counsel Employment Agreement.
57 Adjournment
58 Next Regular Community
Power Board Meeting
August 27, 2026
[email protected]
59 We are experiencing technical
difficulties.

Please be assured that we are
working to resolve the issue and
meeting will resume shortly.

Thank you.

San Diego Community Power Board of DirectorsJune 25, 2026

San Diego Community Power Board of Directors
June 25, 2026