Item 3
1 VALLEY CLEAN ENERGY ALLIANCE
Staff Report – Item 3
TO: Board of Directors
FROM: Alisa Lembke, Board Clerk / Administrative Analyst SUBJECT: Approval of June 11, 2026 Board meeting Minutes DATE: July 9, 2026
RECOMMENDATION
Receive, review and approve the attached June 11, 2026 meeting Minutes.
Attachment: June 11, 2026 Board meeting Minutes
VCEA Minutes June 11, 2026 Regular Board Meeting Page 1 of 5
MINUTES OF THE VALLEY CLEAN ENERGY ALLIANCE
BOARD OF DIRECTORS REGULAR MEETING
THURSDAY, JUNE 11, 2026
The Board of Directors of the Valley Clean Energy Alliance duly noticed their regular meeting for Thursday, June 11, 2026 at 5:30 p.m. to be held at City of Davis Community Chambers located at 23 Russell Boulevard, Davis, California 95616. Board Chair Jesse Loren established that there was a quorum present and began the meeting at 5:30 p.m.
Board Members Present: Jesse Loren (Chair), Tania Garcia-Cadena (Vice Chair), Lucas Frerichs, Tom Stallard, , Donna Neville, Bapu Vaitla, (arrived at 5:31 p.m.), Angel Barajas (Alternate Yolo County), Richard Casavecchia (arrived at 5:31 p.m.)
Members Absent: Sheila Allen
Item 1: Welcome
and Approval of the
Agenda
Chair Loren welcomed everyone. Director Tom Stallard made a motion to approve the June 11, 2026 Agenda, seconded by Director Freirichs.
Motion passed unanimously.
Item 2: Public
Comment –
General and
Consent Items
There were no written or verbal public comments not on the agenda or on consent items.
Items 3-11:
Approval of the
Agenda and
Consent Agenda
Items / Resolution
2026-011
Motion made by Director Loren to approve the Consent agenda items, seconded by Director Vaitla. Motion passed with Director Barajas (Alt.) abstaining. The following items were:
3. Approved April 9, 2026 Board meeting Minutes;
4. Received 2026 long range calendar;
5. Received Treasurer’s Reports: A) January 31, 2026; B) February 28, 2026; C) March 31, 2026; and, D) April 30, 2026;
6. Received legislative update provided by Pacific Policy Group;
7. Received May 2026 regulatory update dated June 3, 2026 provided by Keyes & Fox;
8. Received Community Advisory Committee May 28, 2026 meeting summary;
9. Received annual Load Management Standards update;
VCEA Minutes June 11, 2026 Regular Board Meeting Page 2 of 5
10. Authorized VCE to execute documents associated with Amendment One (1) to CC Power Agreement for the Fish Lake geothermal project as Resolution 2026-011; and,
11. Reappointed Diccon Westworth (Woodland), Ari Halberstadt (Davis), and Mark Murray (Yolo) and appointed Jennifer Rindahl (Winters) as Members to the Community Advisory Committee for a three (3) year term.
Item 12: Receive
Summer
Preparedness
outlook.
(Information)
VCE Chief Executive Officer Mitch Sears introduced this information item. VCE Staff Chad Curran introduced Chris Weber of The Energy Authority (TEA), VCE’s energy consultant. Mr. Weber provided Mr. Weber reviewed CAISO’s and CEC’s outlook for meeting peak summer demand for 2026; anticipated temperature, precipitation, and hydro; and water storage levels. Mr. Weber commented that VCE are well resourced for anticipated demand. He reviewed anticipated September 2026 peak load compared with resources, VCE’s energy position, and VCE’s contracted resources. There were no verbal or written public comments.
Item 13: Receive
and accept
Calendar Year 2025
Audited Financial
Statements.
(Action)
VCE Staff Edward Burnham introduced James Marta of James Marta & Company, VCE’s financial auditor. Mr. Marta provided an overview of the outcomes from VCE’s 2025 financial audit. There were no verbal or written public comments.
Vice Chair Garcia-Cadena made a motion to:
1. Accept and approve the Audited Financial Statements for the period of January 1, 2025, to December 31, 2025;
2. Accept the Communication with Governance Letter; and
3. Accept the Internal Control Letter
This motion was seconded by Director Stallard. Motion passed by the following vote:
AYES: Garcia-Cadena, Frerichs, Stallard, Casavecchia, Neville, Vaitla, Barajas (Alt.), Loren
NOES: None
ABSENT: None
ABSTAIN: None
VCEA Minutes June 11, 2026 Regular Board Meeting Page 3 of 5 Item 14: Receive
mid-year 2026
financial update.
(Information)
Mr. Sears introduced the 2026 mid-year financial update. Mr. Burnham reviewed the highlights of VCE’s budget performance for long-term financial sustainability and customer affordability. He provided an overview of 2026 actuals and anticipated outcomes from California Public Utilities Commission’s (CPUC) Order Instituting Rulemaking (OIR) on changes to the Power Charge Indifference Adjustment (PCIA) and Energy Resource Recovery Account (ERRA) proceedings. He reviewed VCE’s financial position, revenues, operating expenses, including power costs, and cash reserves. Mr. Burnham noted that VCE will be maintaining reserves for credit ratings, rate stabilization, dividends, and regulatory compliance.
The Board and Staff discussed items such as: rates, PCIA, ERRA, CPUC proceedings, customer discounts, and revenue. There were no verbal or written public comments.
This item is listed as an information item; however, within the Staff Report there is a recommendation from Staff to continue current (2026) customer rate discounts. Legal Counsel advised that to document whether or not to keep the current customer rate discounts of 5% for all and 10% for CARE/FERA customers for the remainder of 2026, that a motion to continue current customer rate discounts be combined with the discussion and action items within Item 15 – 2025 Net Margin Allocation.
Item 15: Approve
2025 Net Margin
allocation.
(Discussion/Action)
/Resolution 2026-
012
Mr. Burnham summarized the 2025 Net Margin, and reviewed Dividend Program formula and allocation scenarios. He reviewed key considerations of rate competitiveness, power costs, VCE’s operating cash reserve and rate stabilization reserves targets, and maintaining renewable standard green portfolio with discounts.
The Board and Staff discussed items, such as: programs, rates, discounts, reserves, affordability, equity, dividends, allocation scenarios, and priorities. There were no verbal or written public comments.
Motion made by Director Vaitla to approve Staff’s recommendation and continue current customer rate discounts of 5% for all and 10% for CARE/FERA customers for the remainder of 2026. This motion was seconded by Director Frerichs.
VCEA Minutes June 11, 2026 Regular Board Meeting Page 4 of 5 Director Stallard made a substitution motion to approve Staff’s recommendation with $2.026 million allocated to Local Programs Reserves (item #2 in Staff’s recommendation) be allocated to Customer Dividend Reserves. This motion was seconded by Director Casavecchia.
A vote was taken. Motion fails by the following vote:
AYES: Stallard, Garcia-Cadena, Casavecchia
NOES: Frerichs, Neville, Vaitla, Barajas (Alt.), Loren
ABSENT: Allen
ABSTAIN: None
The Board and Staff had further discussions.
A motion was made by Director Barajas (Alt.) to approve Staff’s recommendation but allocate half of $2.026 million from Local Programs Reserves to customer dividends; continue with the other half allocated to local programs; and continue current customer rate discounts of 5% for all and 10% for CARE/FERA customers for the remainder of 2026. This motion was seconded by Director Casavecchia.
A vote was taken. Motion fails by the following vote:
AYES: Casavecchia, Garcia-Cadena, Stallard, Barajas (Alt.) NOES: Frerichs, Neville, Vaitla, Loren
ABSENT: Allen
ABSTAIN: None
Chair Loren thanked the Board for their discussion on this item.
Chair Loren made a motion to adopt a resolution:
A. Approving the allocation of the $32M 2025 Audited Net Margin between cash reserves, local program reserve (LPR), and Customer Dividends program as follows:
1. Minimum required allocation of $225,000 to the Local Programs Reserve (LPR)
2. Discretionary allocation of $2,026,000 to the Local Programs Reserve (LPR)
3. Discretionary allocation of $2,251,000 to Operational Reserves
4. Discretionary allocation of $4,129,000 to Customer Dividend Reserves
5. Discretionary allocation of $23,397,000 to Rate Stabilization Reserves; and
B. Continue with the current customer rate discounts of 5% for all and 10% for CARE/FERA customers for the remainder of 2026. This motion VCEA Minutes June 11, 2026 Regular Board Meeting Page 5 of 5 was seconded by Director Vaitla. Motion passed as Resolution 2026-012 by the following vote:
AYES: Frerichs, Neville, Vaitla, Barajas (Alt.), Loren
NOES: Garcia-Cadena, Stallard, Casavecchia
ABSENT: Allen
ABSTAIN: None
Item 16: Recap of
CalCCA 2026
Annual Conference.
(Information)
Those Board Members and Staff who attended the CalCCA May 12-14, 2026 Conference held in Sacramento shared their experience and opinion of the conference. There were no verbal or written public comments.
Item 17: Board
Member and Staff
Announcements.
Mr. Sears informed those present that VCE will be represented at the Woodland Chamber of Commerce State of the City lunch on Thursday, June 18, 2026. He will be attending the Tumbleweed Energy Storage facility ribbon cutting ceremony next week. This project is located in Kern County and is the first eight-hour battery energy storage system in California.
Item 18:
Announcement /
Adjournment
Chair Loren announced that the Board has scheduled its regular meeting for Thursday, July 9, 2026 at the City of Woodland Council Chambers located at 300 First Street, Woodland, California 95695. There being no further business to discuss, the meeting was adjourned at 7:13 p.m.
Alisa M. Lembke
VCEA Board Secretary