Item 11
VALLEY CLEAN ENERGY ALLIANCE
Staff Report – Item 11
____________________________________________________________________________________ TO: Board of Directors
FROM: Gordon Samuel, Assistant General Manager & Director of Power Services SUBJECT: Reaffirm Participation in CC Power Tumbleweed Energy Storage Project DATE: May 12, 2022
Recommendation
Reaffirm via Resolution authorization for the Executive Officer to execute on behalf of Valley Clean Energy as a member of California Community Power (CC Power) the following agreements and any necessary ancillary documents for the Tumbleweed long duration storage project with a delivery term of 15 years starting at the commercial operation date on or about June 1, 2026:
a. Project Participation Share Agreement between Valley Clean Energy, California Community Power and other participating CCAs
b. Buyer Liability Pass Through Agreement between Valley Clean Energy, California Community Power and Tumbleweed Energy Storage, LLC.
Background
On February 10, 2022, the Board at their regular meeting authorized the Interim General Manager to execute on behalf of Valley Clean Energy as a member of CC Power to participate in the Tumbleweed long duration storage project. See February 10, 2022 Item 14 Staff Report for further details. A resolution documenting the Board’s authorization to participate was not included with the Staff Report.
Subsequently, at the Board’s March 10, 2022, the Interim General Manager Mitch Sears was appointed as VCE’s Executive Officer.
Conclusion
The attached resolution reaffirms VCE’s participation in the Tumbleweed long duration storage project and authorizing the Executive Officer to execute the necessary documents.
Attachment
1. Resolution 2022-XX Reaffirm participation in the CC Power Tumbleweed Project Item 11
VALLEY CLEAN ENERGY ALLIANCE
RESOLUTION NO. 2022- _______
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE VALLEY CLEAN ENERGY ALLIANCE
REAFFIRMING THE APPROVAL OF THE FOLLOWING AGREEMENTS AND ANY NECESSARY
ANCILLARY DOCUMENTS FOR THE TUMBLEWEED LONG DURATION STORAGE PROJECT AND
AUTHORIZING THE EXECUTIVE OFFICER IN CONSULTATION WITH LEGAL COUNSEL TO FINALIZE AND EXECUTE THE AGREEMENTS: 1) PROJECT PARTICIPATION SHARE AGREEMENT
BETWEEN VALLEY CLEAN ENERGY ALLIANCE, CALIFORNIA COMMUNITY POWER AND OTHER PARTICIPATING CCAs, 2) BUYER LIABILITY PASS THROUGH AGREEMENT
BETWEEN VALLEY CLEAN ENERGY ALLIANCE, CALIFORNIA COMMUNITY POWER AND
TUMBLEWEED ENERGY STORAGE, LLC
WHEREAS, VCE is a member of California Community Power (CC Power) joint powers authority; and WHEREAS, VCE in coordination with CC Power conducted a request for offers for long duration storage (LDS) projects and engaged in negotiations for the Tumbleweed project; and WHEREAS, CC Power seeks to execute agreements to effectuate its purchase of its storage resource from the Tumbleweed storage project based on the project’s desirable offering of products, pricing and terms; and
WHEREAS, the Tumbleweed project will contribute to the regulatory requirement to procure LDS for each of the CCAs that are participating in this project through CC Power by providing energy storage resources for a term of fifteen years starting on or about June 1, 2026; and WHEREAS, on February 10, 2022 staff presented to the Board for its review the Energy Storage Services Agreement, Buyer Liability Pass Through Agreement and the Project Participation Share Agreement the Board approved authorization to participate; and,
WHEREAS, on February 10, 2022, the Board approved participation in the CC Power Tumbleweed project; and
WHEREAS, this Resolution reaffirms the Board’s February 10, 2022 action approving participation in the CC Power Tumbleweed project and authorizing its Executive Officer to execute Agreements and any ancillary documents associated with its action.
NOW, THEREFORE, the Board of Directors of the Valley Clean Energy Alliance reaffirms the following:
1. The Executive Officer is authorized to execute the Agreements and any ancillary documents with the Tumbleweed Energy Storage LLC, California Community Power and participating CCAs with the terms generally consistent with those presented, in a form approved by legal counsel Item 11
PASSED, APPROVED AND ADOPTED, at a regular meeting of the Valley Clean Energy Alliance, held on the ____ day of _______________, 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_____________________________________
Jesse Loren, VCE Chair
__________________________________
Alisa M. Lembke, VCE Board Secretary