HomeMy WebLinkAbout2021-05-27; Clean Energy Alliance JPA; ; Approve Response to County Letter Requesting CCE Information41111w-
CLEAN ENERGY ALLIANCE
Staff Report
DATE: May 27, 2021
TO: Clean Energy Alliance Board of Directors
FROM: Barbara Boswell, Interim Chief Executive Officer
ITEM 7: Approve Response to County Letter Requesting CCE Information
RECOMMENDATION
Approve response to County letter requesting CCE Information.
BACKGROUND AND DISCUSSION
At its meeting April 6, 2021, the County of San Diego Board of Supervisors (BOS) adopted revised
Guiding Principles regarding community choice energy (CCE) and directed staff to engage in discussions
with Clean Energy Alliance and San Diego Community Power and return to the BOS in August 2021 with
options for potential County participation in the two CCE programs. Pursuant to that direction, Clean
Energy Alliance (CEA) received a letter from the County (Attached) requesting information from CEA
regarding alignment with the Guiding Principles and questions related to joining CEA.
At its April 22, 2021 regular meeting, the CEA Board directed staff to prepare a response to the County
letter and return to the Board for approval.
The letter requests that CEA provide information detailing how CEA's Joint Powers Agreement (JPA),
Board-approved policies and other relevant documents and Board actions support the County's Guiding
Principles.
The County's Guiding Principles are:
1.Prioritize social equity and environmental stewardship.
2.Provide cost competitiveness compared to the incumbent utility.
3.Achieve 100% renewable electricity by 2030; encourage within-County buildout of renewable
energy, battery storage, and energy efficiency programs; and prioritize Category 1 renewable
energy.
4.Support requirements for prevailing wages, as defined in California Labor Code section 1770 et
seq., and skilled and trained workforce, as defined in California Public Contract Code section
2601, for CCE-owned generation, feed-in-tariff, and energy efficiency projects.
5.Encourage the development of an equitable jobs pipeline for individuals from communities of
concern; the use of a bid evaluation policy prioritizing the selection of new local renewable
energy and storage projects; and the workforce development criteria prioritizing the use of
State-certified apprenticeship and proper assignment of work to crafts that traditionally perform
the work, as permitted by applicable law.
May 27, 2021
Response to County Letter
Page 2 of 3
6. Limit General Fund Liability.
The following chart identifies the CEA Board documents that align with the Guiding Principles:
GP 1 GP 2 GP 3 GP 4 GP5 GP6
CEA Joint Powers Agreennent V V V
V
CEA Inclusive & Sustainable Workforce Policy V
V I V
CEA Bid Criteria Policy V
I V I
CEA Adopted Rates
V
CEA Power Supply Product Offerings
I
Staff will provide the documents and provide details as to how the CEA documents are aligned with the
Guiding Principles in the letter.
The following questions, along with the planned response, were also included in the letter:
1. What are the anticipated rate discounts versus SDG&E?
• Discussion of current rate comparison to SDG&E and future forecasts.
2. What is the anticipated "membership fee", if any, that would be required? Are there any other
payment requirements to join?
•Response consistent with the policy under consideration at today's meeting.
3. Aside from payments required in connection with joining the JPA, are there any current or
anticipated payment obligations of JPA Members?
•Response that there are no current or anticipated payment obligations of JPA Members.
4. What liabilities would the County be expected to incur by joining the JPA?
•Response that there would be no liabilities incurred by the County, consistent with current
experience of members.
5. Will you offer the same rate for all members or is there going to be a "newcomers" rate?
•Response that CEA has one rate schedule for all members, and total costs are dependent on San
Diego Gas & Electric Power Charge Indifference Adjustment (PCIA) fees, based on vintage.
6. Please explain the process and any deadlines for the County to join in 2021?
•To meet the timeline related to CCE services expansion, the County would need to inform CEA of
its interest in moving forward with evaluating joining by the end of July 2021. Response will
include an overview of the process.
May 27, 2021
Response to County Letter
Page 3 of 3
7. If the County were to join in 2021, how do you anticipate the rollout going in 2023? All at once or in
phases?
•Response that the CCE recommended approach to phasing would be identified through the
financial evaluation of the pro forma related to County expansion.
8. What functions would County staff be expected to perform after joining the JPA?
•Response that the County staff would not be expected to perform functions on behalf of CEA,
beyond support of the Board position that would be held by the County.
9. Please provide your most recent proforma budget.
•The pro forma from March 4, 2021 meeting will be provided.
FISCAL IMPACT
There is no fiscal impact associated with this item.
ATTACHMENTS
Letter from San Diego County Dated April 18, 2021
Item 7 Attachment A
Tx:runty of an ,PiegEr
MARKO IVIEDVED, PE, GEM DEPARTMENT OF GENERAL SERVICES NICOLE J. ALEJANDRE
R RC. FOR ASSISTANT DIRECTOR
(859) 594-2527 5560 OVERLAND AVENUE, SUITE 410, SAN DIEGO, CA 92123 (855) 694,3885
April 18, 2021
Barbara Boswell
Interim CEO
Clean Energy Alliance
RE: Request for CCE Information
Mrs. Boswell,
On April 6, 2021, the County Board of Supervisors approved a new set of CCE Guiding Principles
and directed County staff to begin discussions with the two recently formed local CCEs (San
Diego Community Power and Clean Energy Alliance) about a possible partnership. To
commence discussions with Clean Energy Alliance, we are writing to formally request information
relevant to our Board of Supervisors' consideration of how to best effectuate its CCE Guiding
Principles.
County staff intends to return to the Board of Supervisors this summer with an analysis of options
for joining one of the existing local CCEs in accordance with the Guiding Principles. This would
allow our Board the opportunity to decide whether the County should join one of the CCEs in
2021, with a launch of unincorporated accounts in 2023. To facilitate this decision, the County
requests the following information.
Please provide information detailing how your Joint Powers Agreement, Board-approved policies,
and any other relevant official documents and Board actions support the following County Guiding
Principles:
Guiding Principles
1.Prioritize social equity and environmental stewardship.
2.Provide cost competitiveness compared to the incumbent utility.
ENERGY & SUSTAINABILITY ASSET MANAGEMENT FLEET PROJECT MANAGEMENT • FACILITIES OPERATIONS
3.Achieve 100% renewable electricity by 2030; encourage within-County buildout of
renewable energy, battery storage, and energy efficiency programs; and prioritize
Category 1 renewable energy.
4.Support requirements for prevailing wages, as defined in California Labor Code section
1770 et seq., and skilled and trained workforce, as defined in California Public Contract
Code section 2601, for CCE-owned generation, feed-in-tariff, and energy efficiency
projects.
5.Encourage the development of an equitable jobs pipeline for individuals from communities
of concern; the use of a bid evaluation policy prioritizing the selection of new local
renewable energy and storage projects; and the workforce development criteria
prioritizing the use of State-certified apprenticeship and proper assignment of work to
crafts that traditionally perform the work, as permitted by applicable law.
6.Limit General Fund Liability.
In addition, we have the following specific questions:
1.What are your anticipated rate discounts versus SDGE?
2.What is the anticipated "membership fee", if any, that would be required? Are there any
other payment requirements to join?
3.Aside from any payments required in connection with joining the JPA, are there any
current or anticipated payment obligations of JPA Members?
4.What liabilities would the County be expected to incur by joining the JPA?
5.Will you offer the same rate for all members or is there going to be a "newcomers"
rate?
6.Please explain the process and any deadlines for the County to join in 2021?
7.If the County were to join in 2021, how do you anticipate the rollout going in 2023? All
at once or in phases?
8.What functions would County staff be expected to perform after joining the JPA?
9.Please provide your most recent proforma budget.
If possible, please respond with the requested information prior to June 1, 2021. All responses
should be emailed to Charles.marchesanosdcounty.ca.dov. Please also feel free to contact me
at (858) 699-3502.
Sincerely,
-741-a4-0_11,0-0-a41.45
Charley Marchesano
Chief, Energy and Sustainability Program
Department of General Services
County of San Diego
(858) 694-2987 office (858) 699-3502 cell