Item Number: 1
City Council / Board of Directors
Public Hearing(s)
Meeting of: November 19, 2024
Submitted By:
Brenda Hampton, Director of Electric Utility Services
Subject:
Proposed Updated Electric and Natural Gas Service Rules, Regulations and Rate Schedules
Recommendation:
Staff recommends the Honorable City Council:
(1) Open and conduct a public hearing for the purpose of receiving testimony for or against adoption of proposed Resolution No. 24-095 and Resolution No. 24-096; (2) Close the public hearing for or against adoption of proposed Resolution No. 24- 095 and Resolution No. 24-096;
(3) Adopt Resolution No. 24-095 amending and revising the Electric Service Rules and Regulations for electric services provided to customers of the Victorville Municipal Utility Services (”VMUS”) pursuant to Chapter 10.10 of the Victorville Municipal Code;
(4) Adopt Resolution No. 24-096 amending and revising the Natural Gas Service Rules and Regulations for gas services provided to customers of VMUS pursuant to Chapter 10.11 of the Victorville Municipal Code;
Fiscal Impact:
There is no fiscal impact associated with this action in FY 2024-2025.
Strategic Plan Goal:
This item contributes to the City's Strategic Plan, Goal G, Organizational Effectiveness and Sustainability to ensure that VMUS’ rules, regulations, and related procedures reflect administrative reorganizations and best utility practices.
Background:
On January 19, 2010, and May 20, 2014, the City Council adopted Ordinance No. 2240 and Ordinance No. 2315 respectively which amended, revised, and codified the VMUS Service Rules, Regulations and Rate Schedules for Electric and Natural Gas Service, and 3 8
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established a mechanism under Chapter 10.10 and 10.11 of the Victorville Municipal Code to make future amendments by way of City Council resolution.
City Staff annually reviews the VMUS Rules and Regulations for both Electric and Natural Gas services, which govern the day-to-day operations of the utility ("Rules and Regulations") to ensure that its policies and related procedures reflect administrative reorganizations, best utility practices, new laws or regulations governing the utility, and technology updates. These Rules and Regulations were last amended on February 8, 2024 (for the Electric Utility) and July 7, 2020 (for the Natural Gas Utility), following the City Council adoption of Resolution No. 24-076 and Resolution No. 20-054, respectively.
Discussion:
The proposed revisions reflected in Attachment 1 to Resolution No. 24-095 and in Attachment 1 to Resolution No. 24-096 are encompassed in Rule 20 - Utility Charges and Fees, within both attachments. These minor revisions are based on revisions to user fees that are reviewed and adopted annually by the Victorville City Council in the City of Victorville Master Fee Schedule. User fees, new or existing, are charged by the City of Victorville to recoup the cost of the service being provided to the user. Going forward, the adopted Master Fee Schedule will supersede any previously adopted or established user fees, which will promote accuracy and consistency within the fees established citywide.
In addition to the minor proposed revisions in Rule 20 for both Electric and Gas Rules and Regulations, City Staff also noted the need to recommend minor changes to Attachment 1 to Resolution No. 24-096. These revisions are only applicable to the Natural Gas Service Rules and Regulations to address VMUS’ new gas interconnection with Kern River Gas Transmission Company (“KRGT), as approved on February 7, 2023, by the Victorville City Council. For example, the current Natural Gas Service Rules and Regulations state that VMUS is capable of supplying natural gas at low or medium gas pressure levels, however with the addition of KRGT’s interconnection, VMUS will have the ability to provide higher pressure levels upon customer request and approval by staff.
Staff is recommending approval and adoption of Resolution No. 24-095 and Resolution No. 24-096. If Resolution No. 24-095 and Resolution No. 24-096 are approved by the City Council, the entirety of the revised Electric Rules and Regulations and Gas Rules and Regulations will become effective on December 1, 2024. Staff remains available to answer any questions the City Council may have.
Attachments: A. NOPH Resolution Nos. 24-095 and 24-096
B. Resolution No. 24-095
C. Resolution No. 24-096